Source : THE AGE NEWS
Nine is spinning off its radio business’ sales operation, adding fuel to the fire it is pushing to sell its historic talkback stations, including 2GB and 3AW, as it finalises the sale of digital real estate business Domain.
The sales teams for its audio division, which houses the radio stations, will move out of the company’s headquarters in Sydney, Brisbane, Melbourne, and Perth, and the media group has hired Brian Gallagher, the consultant who came up with the plan, as its commercial director for audio.
2GB’s Ben Fordham is one of Nine’s biggest earners, after Ray Hadley [left] departed Nine in 2024.Credit: Michelle Haywood
Gallagher, a former top executive at radio firm Southern Cross Austereo, who also advised commercial radio broadcaster ARN during its failed takeover of SCA last year, was engaged earlier this year by Nine’s audio boss Tom Malone.
After a consultation period, the position of commercial director for audio was created for Gallagher, with the company adopting his proposal to shift sales staff for its radio division away from the rest of the business to let Nine Radio operate within a new structure. While it will now have a standalone team focused on radio sales, it still remains part of the Streaming and Broadcast division.
During an internal staff forum last month, Nine CEO Matt Stanton said there was no active sales process for the radio business; however, he added he would “never say never”.
But some company insiders with knowledge of the changes say the new structure, which will be in place from July 1, will help fast-track a sale of the radio stations.
There are benefits for Nine in having its radio sales as a separate operation if and when a buyer comes along, according to Ben Willee from advertising agency Spinach.
“The benefit is a neater transaction” in case of a sale, Willee said.
In Sydney, 2GB broadcasts from Pyrmont, while its main offices are in North Sydney. In Melbourne, 3AW broadcasts from The Age’s former offices at Media House on Spencer Street.
While there have been no firm offers for the radio business, several parties have formally or informally expressed their interest to Nine, including right-wing news start-up Australian Digital Holdings.
Nine’s talkback stations are some of the oldest operating in Australia. Having previously operated under the name Macquarie Radio, they came into the Nine fold in 2019 via its merger with Fairfax Media.
Earlier this year, Nine hired former Foxtel executive Amanda Laing to run a new combined division housing its streaming, broadcast television and radio operations. Under that new structure, head of television Michael Healy and radio boss Tom Malone no longer report directly to the chief executive, but to Laing.
While radio advertising revenue has largely held up despite changes in people’s listening habits, Nine’s audio business generates a shrinking portion of the group’s profits, accounting for just 2 per cent of its operating earnings in 2024.
This compared to 42 per cent of its earnings coming from TV, 31 per cent from the publishing business, 9 per cent from Stan and 16 per cent from Nine’s stake in Domain, which is in the process of being sold.
The Sydney Morning Herald and The Age are part of the publishing business.
The audio division’s sales came in at $103 million in 2024, while its earnings before interest, tax, depreciation and amortisation were $8 million, almost half that of two years prior. Revenues were up in the first half of the 2025 fiscal year, however. Some of its highest-paid staff, including Ray Hadley, Neil Mitchell and Alan Jones have come off Nine’s books in recent years, all ending their long-term stints as top rating, but at times controversial, hosts.
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