Southern Cross Media is moving quickly to cut costs, planning to axe up to 300 jobs while also writing down the value of an older television agreement by $70 million. The job cuts form part of a broader cost-reduction push, which the company expects will generate around $150 million in savings each year.
Management outlines the plan as a way to ease mounting cost pressures and free up cash to invest more heavily in new Australian content. Leadership frames the shift as a strategic reset rather than a one-off response.
The announcement lands alongside a trading update that signals the media group will miss earlier expectations for the current financial year. Southern Cross operates Channel Seven, The West Australian newspaper and national radio brands Triple M and Hit, making the downgrade significant across television, print and radio.
Executives highlight a tightening advertising market as a key driver of weaker revenue, with brands spending more cautiously across broadcast and digital formats. Investors and staff are told to expect a more disciplined cost base as the company adapts to these conditions.
In an email circulated to employees and seen by The Australian Financial Review, Southern Cross leadership points to global macroeconomic pressures hitting local advertising budgets. The company indicates that falling ad demand is occurring at the same time as higher operating costs, intensifying the squeeze on margins.
Management argues that cutting legacy costs and refocusing on Australian programming should position the business better when ad markets eventually stabilise. The combination of job cuts, write-downs and a reset in content strategy shows how traditional media groups are reshaping operations under sustained financial pressure.
