- Kerry Stokes will stand down from his Executive Chairman role at Seven Group (SVW), but remain in his leadership position at Seven West Media (SWM)
- Seven announced the news on Wednesday alongside the company’s full-year results, with the 80-year-old set to step down in November
- Mr Stokes has run SVW for over a decade, with the diversified group owning businesses such as WesTrac, Coates and Beach Energy (BPT)
- Seven Group posted a 440 per cent increase in profits over FY21, with a statutory net profit after tax of $634.6 million
- A final dividend of 23 cents per share will be issued for SVW shareholders, while shares in the company are down 7.56 per cent at $21.15 each
Kerry Stokes will stand down from his Executive Chairman role at Seven Group (SVW), but remain in his leadership position at Seven West Media (SWM).
Seven announced the news on Wednesday alongside the group’s full-year results, with the 80-year-old set to step down after the AGM in November.
He’ll be replaced by Terry Davis, who’s served on the Seven Group Board for over 10 years as well, while Mr Stokes will stay on as an advisor.
Mr Stokes has run the diversified business, which owns WesTrac, Coates, multiple energy businesses and the Seven media empire, for over a decade.
Before 2010, the billionaire was Chairman of the Seven Network, while he now runs the Seven West Media business as Chairman — a position he’ll remain in despite today’s resignation.
Alongside the leadership succession announcement, Seven Group revealed a 440 per cent increase in profits over FY21, with a statutory net profit after tax of $634.6 million.
The diversified business brought in $4.8 billion in revenue, which marks a 6.1 per cent increase, and posted an earnings before interest, taxes, depreciation and amortisation of $792 million which is up 7.3 per cent on FY20.
It also plans to pay a final dividend of 23 cents per share to SVW shareholders, brining the full year dividend to 46 cents.
Mr Stokes’ son, Ryan Stokes, the CEO of Seven Group said the industrial services portfolio had done well, complemented by the acquisition of Boral.
“Our Industrial Services portfolio is benefitting from growth of mining production and the substantial pipeline of infrastructure activity,” Mr Stokes said.
“During the year, we increased our shareholding in Boral, and commenced equity accounting for it when we received Board representation.
“We undertook the takeover of Boral based on our confidence in the value opportunity presented by divesting Boral’s international interests and more focused management to achieve improved margins and returns from a transformation of its Australian operations.
“The addition of Boral to SGH creates an Industrial portfolio second to none in
Australia.”
Shares in Seven Group were trading down 7.56 per cent at $21.15 per share at market close.