Johannesburg - Diversified media group Primedia yesterday posted a 13 percent increase in revenue to R1.98 billion for the year to June.
Low interest rates had seen advertising spend with Primedia increase by 25 percent to R950.3 million.
Gavin Joubert, a portfolio manager at Coronation Fund Managers, said advertising would still contribute significantly as long as the economy remained buoyant.
Net profit was up 22.8 percent to R215.6 million. Headline earnings a share grew by 39.7 percent to 95c.
Primedia's assets include radio stations 94.7 Highveld Stereo, 702 Talk Radio, Cape Talk, cinema group Ster-Kinekor and advertising division Primedia Outdoor.
It also has a 40 percent stake in football club Kaizer Chiefs.
The broadcasting and internet division increased profit before interest by 61.7 percent to R194.4 million, while cinema and print profit before tax was up by 10.5 percent to R17.6 million.
Joubert said although the radio assets were performing well, they were not properly recognised by the markets.
William Kirsh, Primedia's chief executive, said the performance by the content division, which used to be called the film and entertainment division, did not meet management expectations in the short term.
In March Ster-Kinekor and its competitor, Nu Metro, which is owned by Johnnic Communications, slashed ticket prices in order to attract black customers.
Ster-Kinekor theatres Ster-Kinekor Classic and Ster-Kinekor Junction recorded a 36.5 percent decrease in profit before tax to R31.3 million, on the back of a 7.5 percent decline in turnover to R462.8 million.
The decline was attributed to lower attendance, but black consumer attendance increased by 36 percent to 3 million, representing a 19 percent total attendance.
Primedia would pay a dividend of 56c, which is an increase of 40 percent from the last period.
The shares gained 15c to close at R13.95 yesterday, while the media sector gained 1.7 percent.