Sky Announces Full Year Results

1

Sky New Zealand
PO Box 9059
Newmarket
Auckland 1149
New Zealand

10 Panorama Road
Mt Wellington
Auckland 1060
New Zealand

T. +64 9 579 9999





25 August 2022
Sky Delivers Strong Result and Announces Capital Return and
Confident Commencement of Dividends

Sky Network Television Limited (Sky) has delivered a strong result for the 2022 financial year, driven
by a return to growth in core revenue, cost control and a clear focus on execution of strategy.
Sky has also provided an update on its capital management strategy, with Chair Philip Bowman saying:
“Sky is in a solid cash position resulting from strong and sustainable cash generation and the sale of
the Mt Wellington properties. In addition, we have an improved earnings outlook, and access to an
undrawn banking facility of $150 million.”
“Against this backdrop the Board has established a capital allocation framework that provides the
opportunity to return capital of approximately $70 million to shareholders and deliver a sustainable
dividend whilst also reinvesting in the business to support future growth and value creation.”
Key points of today’s announcement:
 Customer relationships grow to 990,761 (+4%)
 Revenue growth of $24.9 million to $736.1 million (+4%), fuelled by increase in core subscription
revenue and growth in average revenue per user (ARPU) for both Sky Box and Streaming
 The strong cost focus delivers $35 million of permanent and one-off operating cost savings in line
with Sky’s December guidance update
 EBITDA of $169.0 million ($153.7 million adjusted for one-offs including $14.0 million gain on
property sale)
 Reported NPAT of $62.2 million (+41%) / Adjusted NPAT
1
of $49.2 million (+12%), above the
guidance range
 Confident return to paying dividends with a fully imputed final dividend of 7.3 cents

per share
(60% of Free Cash Flow
2
).

1
Adjusted NPAT has been provided as this gives a useful comparison for evaluating the underlying performance of the
business as it adjusts for one-off items, including the gain on sale of the property. A reconciliation to GAAP is available in
the Financial Overview of Sky’s 2022 Annual Report.
2
Free Cash Flow is defined as net cash from operating activities, less net cash used in investing activities, less payments for
lease liability principal, and excludes proceeds from sale of Mt Wellington properties. 60% ratio is based on smoothed cash
flow across the year.

Commenting on the results, Chief Executive Sophie Moloney said: “This strong result delivers on the
promise that Sky has reached a positive inflection point, with the trends we reported in the first six
months now firmly established.”
“Our focus on what matters most – our Customers, Content, Crew and Capability – is achieving results,
and, encouragingly, means we outperformed against a number of our FY22 targets as the team
continued to deliver for our customers, partners and investors.
Customers
Sky’s customer relationships grew by 4%, led by strong gains in Streaming, including 14% growth in
Neon and an impressive 53% growth in Sky Sport Now (cementing its position as the #1 streaming
sports app for regular and casual sports fans). While Sky Box customer numbers are down 4.5%, Sky’s
more deliberate acquisition strategy (designed to reduce early tenure churn and no longer involving
deep discounts) is starting to pay off and is expected to deliver valuable improvements in churn and
Sky Box revenue. Sky Broadband customers were close to 18,000 after the first full year in market,
achieving the targeted attachment rate to Sky Box of 3.3%.
Sophie Moloney commented: “The launch of the new hybrid Sky Box is a transformational moment
for Sky, delivering unmatched choice and ease for our customers. Feedback from customers involved
throughout the development process has been overwhelmingly positive, and we can’t wait to share it
with more New Zealanders. At the same time, our crew have been busy developing options to meet
the particular needs of our customers on the soon-to-close Vodafone TV service, and we look forward
to welcoming these customers to a total Sky experience.”
Content
“Sky’s unmatched line-up of sport and entertainment content plays a significant role in attracting new
customers and keeping them engaged. We are delighted to have won and renewed a number of key
content rights during FY22. These include important wins like the Premier League which returned to
Sky’s screens earlier this month and is already making a positive impact on customer engagement, as
well as securing great content from ViacomCBS (now Paramount) and WarnerMedia as part of our
extensive entertainment offering.”
“While our programming costs line is significant, content is at the core of our business. As the ultimate
aggregator of the biggest bundle of content in the New Zealand market, it’s the power of our platform
(across Sky Box, streaming, Sky Business and free-to-air) that enables us to maximise the value of this
investment, and at the same time deliver value for our customers and rewarding relationships for our
partners.”
Financial
Revenue growth of 4% to $736.1 million was driven by strong growth in Streaming of 27%, continued
improvement in Sky Box revenue decline from 8.6% in FY21 to 3.4% in FY22, an initial contribution
from Sky Broadband, and continued recovery in Commercial and Advertising revenues.
“It is very pleasing to demonstrate that the return to revenue uplift we reported at our interim results
has translated to full year growth, with an improving trend in Sky Box, and all other revenue lines

having grown. Importantly, this result also included increases in average revenue per user (ARPU)
across both Sky Box and Streaming,” said Sophie Moloney.
Other income increased by 7% and included the $14.0 million gain from the sale of Sky’s Mt Wellington
properties (for $56.0 million) which completed in March 2022.
“While the 2022 financial year included an expected step-up in sports and entertainment
programming costs, our wide-ranging cost review announced in December 2021 identified total
potential cost savings of $40 to $45 million, and we have delivered on that promise with today’s result
having realised savings of $42 million across opex and capex. Our focus on costs remains and whilst
investment to fuel future growth will involve increased operational and capex spending - including for
the rollout of the new Sky Box to customers - this will be partly off-set through further permanent
savings already in our sights.”
Reported NPAT increased to $62.2 million (+41%) with Adjusted NPAT of $49.2 million (+12%), above
the guidance range.
Capital Management
As previously indicated, the Board and Management have undertaken a detailed review of Sky’s
capital management strategy, taking into consideration likely capital needs, opportunities to invest to
drive future growth as well as future performance projections.
All capital return options were reviewed and after careful consideration, including taking into account
shareholder feedback and input from advisors, the Board will propose to the 2022 Annual Shareholder
Meeting a return of capital of approximately $70 million through a Court sanctioned pro rata share
cancellation – a return of approximately 40 cents per share held on the record date to shareholders
(subject to rounding)
3
.
This approach was selected as the most appropriate way to return a significant sum to shareholders,
offering a fair and efficient mechanism that treats all shareholders equally.
The Board has also approved a final dividend of 7.3 cents per share (fully imputed), equivalent to 60%
of Free Cash Flow
2
, to be paid on 23 September 2022.
Philip Bowman thanked shareholders for their support, noting that: “Not only have we made good
progress against strategy, but improved financial performance combined with greater confidence in
the future has allowed the Board to declare the final dividend for FY22 as well as the capital return.”
"These initiatives strike a careful balance between returning surplus capital, providing an income
stream to shareholders, and retaining the flexibility to invest for future growth.”

3
The capital return will result in the cancellation of shares, with shareholders receiving payment for each share cancelled.
The price per share cancelled and cancellation ratio will be determined closer to the time, and are expected to be set such
that, where no rounding is applied to a shareholder, that shareholder will receive 40 cents per share held on the record
date. Fractional entitlements will be rounded, such that shareholders may receive more, or less, than 40 cents per share
held on the record date where rounding is applied to them.

An indicative timetable and key facts regarding the return are included at the end of this release and
further information will be provided in the Notice of Meeting which will be sent to shareholders in
advance of Sky’s Annual Meeting to be held on 2 November 2022.
Outlook
Sky expects to see continued growth in customer numbers and revenue. While FY23 will include the
anticipated increase in programming costs, this will be partly offset by the full year benefit of FY22
permanent cost savings and next phase of cost reduction measures. Capital investment will increase
largely due to the roll-out of the new Sky Box and is likely to remain elevated in FY24 before reducing
thereafter.
In addition to the investment in the new Sky Box roll-out, FY23 will see Sky invest further to fuel growth
through continuing the digital transformation of its technology platform, enhancing data analytics
capabilities, developing digital engagement channels and expanding its capability in advertising.
Sky has released guidance for FY23 including Revenue of $750 to $770 million; EBITDA of $150 to $170
million (midpoint of 4.1% above FY22 EBITDA on a normalised basis); NPAT of $50 to $60 million and
Capex of $60 to $75 million.
Sky’s balance sheet, supported by an undrawn bank facility of $150 million, is expected to remain
strong following the return of capital. Based on delivery of the recent guidance referenced above, the
Board anticipates paying FY23 dividends at the upper end of the target pay out range of 50% to 80%
of Free Cash Flow (excluding one-offs), and expects total dividends in the range of $17 to $23 million
in FY23.
Sophie Moloney said: “While there are clear economic headwinds in the current financial year, we are
looking with confidence to FY24 and beyond, as we move beyond this inflection point and position the
business to capture the opportunities that are firmly within our sights.”
ENDS
Authorised by: Sophie Moloney, Chief Executive Officer

Sky will hold a webcast briefing at 10:30am (NZT) to discuss the results. Details on how to participate
are available here: https://www.nzx.com/announcements/396146


Investor queries to: Media queries to:
Tom Gordon Chris Major
Chief Financial Officer Chief Corporate Affairs Officer
+64 21 190 0828 +64 29 917 6127
tom.gordon@sky.co.nz chris.major@sky.co.nz

Additional information regarding the proposed return of capital to shareholders
Key facts:
 Total cash return to shareholders of approximately $70 million expected in late November 2022.
 Capital return to take place by way of a High Court approved scheme of arrangement with
shareholder approval being sought at Sky’s Annual Meeting on 2 November 2022.
 Sky will seek a binding ruling from the Commissioner of Inland Revenue to confirm the proposed
return of capital is not in lieu of a dividend. A class ruling from the Australian Taxation Office
(ATO) will also be sought.
 The capital return will result in the cancellation of shares, with shareholders receiving payment
for each share cancelled. The price and cancellation ratio will be determined closer to the time.
 The capital return will not alter shareholders’ proportionate shareholding in the Company or
future voting and distribution rights.
 Sky shareholders will receive more information regarding the capital return in the Notice of
Meeting that is expected to be released in October.

Indicative timetable:
EVENT DATE
Notice of meeting distributed October
Annual Meeting/shareholder vote 2 November 2022
Final orders made by High Court mid-November 2022
Payment to shareholders late-November 2022
*
Dates above are indicative only.

---

Results announcement
(for Equity Security issuer/Equity and Debt Security issuer)


Results for announcement to the market
Name of issuer Sky Network Television Limited
Reporting Period 12 months to 30 June 2022
Previous Reporting Period 12 months to 30 June 2021
Currency NZD
Amount (000s) Percentage change
Revenue from continuing
operations
$736,111 3.5% increase
Total Revenue $736,111 3.5% increase
Net profit/(loss) from
continuing operations
$62,145 41.4% increase
Total net profit/(loss) $62,212 40.5% increase
Final Dividend
Amount per Quoted Equity
Security
$0.073
Imputed amount per Quoted
Equity Security
$0.02838889
Record Date 9 September 2022
Dividend Payment Date 23 September 2022
Current period Prior comparable period
Net tangible assets per
Quoted Equity Security
$ 1.1124 $0.6312
A brief explanation of any of
the figures above necessary
to enable the figures to be
understood
For further explanation refer to the financial commentary and
audited financial statements attached.
Authority for this announcement
Name of person

authorised
to make this announcement
Tom Gordon
Contact person for this
announcement
Tom Gordon
Contact phone number
+64 21 1900 828

Contact email address Tom.Gordon@sky.co.nz
Date of release through MAP

25/08/2022

Audited financial statements accompany this announcement.

---

Distribution Notice

Updated as at June 2022




Please note: all cash amounts in this form should be provided to 8 decimal places, including zeros (ie 0.01001000)

Section 1: Issuer information
Name of issuer Sky Network Television Limited
Financial product name/description Ordinary Shares
NZX ticker code SKT
ISIN (If unknown, check on NZX
website)
NZDKTE0001S6
Type of distribution
(Please mark with an X in the
relevant box/es)
Full Year X Quarterly
Half Year Special
DRP applies
Record date 09/09/2022
Ex-Date (one business day before the
Record Date)
08/09/2022
Payment date (and allotment date for
DRP)
23/09/2022
Total monies associated with the
distribution
$12,752,248
Source of distribution (for example,
retained earnings)
Retained Earnings
Currency NZD
Section 2: Distribution amounts per financial product
Gross distribution $0.10138889
Gross taxable amount $0.10138889
Total cash distribution $0.07300000
Excluded amount (applicable to listed
PIEs)
N/A
Supplementary distribution amount $0.01288235
Section 3: Imputation credits and Resident Withholding Tax
Is the distribution imputed

Fully imputed X
Partial imputation
No imputation
If fully or partially imputed, please
state imputation rate as % applied
28%
Imputation tax credits per financial
product
$0.02838889
Resident Withholding Tax per
financial product
$0.00506944

Section 5: Authority for this announcement
Name of person

authorised to make
this announcement
Tom Gordon
Contact person for this
announcement
Tom Gordon
Contact phone number +64 211 900 828
Contact email address tom.gordon@sky.co.nz
Date of release through MAP

25/08/2022

---

2022 ANNUAL REPORT
YOUR

Contents
Chairman’s Letter
CEO Update
FY22 At a Glance
Our Strategy
Our Priorities
Sustainability and Sky for Good
Board of Directors
Financials
Other Information
02
04
09
11
12
35
40
42
105
FRONT COVER IMAGE:
Teen Titans Go!
all to myself
Léla's Mum gets her set up
on the iPad so she can watch
her favourite content.

Never miss a moment
With Sky Sport Now, no matter
where he is, Scott's always
got the score. Even while doing
the housework, supposedly.
Sky / 2022 Annual Report
1

Chairman’s
Letter
Philip Bowman
Independent Chairman
Our company has ended the financial year
in a much-improved position due to the
hard work by Management and all the
Sky team over the last twelve months.
The strong results for the year were driven by
a return to growth in core revenue, a continued
focus on cost control, and an ongoing
emphasis to build enduring relationships
with content partners and secure the
content that our customers want to view.
Against a difficult macroeconomic outlook
globally, Sky’s balance sheet ended the year
with no borrowings, significant cash on hand
(including the proceeds from the sale of
our Mt Wellington campus), supported by a
business delivering healthy free cashflow.
The Board and Management took time
to explore Sky’s capital management
strategy in the context of available growth
initiatives. These included the evaluation of
a possible acquisition of MediaWorks, which
we subsequently chose not to pursue.
Not only have we made good progress against
strategy, but improved financial performance
combined with greater confidence in the
future has allowed the Board to declare a
final dividend for FY22 of 7.3 cents per share
payable in late September. In addition, the
Board will propose to the Annual Shareholder
Meeting a return of capital of approximately
$70 million, using the mechanism of a Court
sanctioned pro rata share cancellation.
Further detail on the return of capital will be
provided in Sky’s notice of annual meeting.
These initiatives strike a careful balance
between returning surplus capital, providing an
income stream to shareholders, and retaining
the flexibility to invest for future growth.
Welcome to Sky’s
Annual Report for 2022.
2

The momentum within the business as we
entered the new financial year should deliver
continued growth in customer numbers
and revenue to underpin delivery of further
progress against our strategy in FY23. Whilst
there will be an increase in programming
costs due to recent rights renewals, these
will in part be mitigated by Management’s
ongoing focus on cost reduction opportunities.
Capital investment will increase over
recent levels as we deploy the new Sky Box
and other products on the roadmap.
FY23 will also be a crucial year for the business,
requiring the successful delivery of the new Sky
Box, further investment in growth initiatives,
including strengthening our advertising
credentials, and continued enhancements to
our technology and data analytics to improve
customer experience even further. Excellence
in execution will be key, especially against the
local economy which continues to feel the
impacts of COVID-19 restrictions, a shortage
of skilled workers, escalation in wage, salary
and other input costs, as well as the rapidly
rising cost of living. We remain alert to the
unexpected headwinds that may arise from
the current economic challenges facing
New Zealand consumers and businesses.
Sophie and her leadership team are highly
focused on the task ahead. Delivering on the
year’s goals will take a lot of hard work and
an absolute determination to continue to
transform Sky to meet competitive pressures.
The team have demonstrated their ability to
overcome challenges, and to deliver improved
results over the past two years, giving the
Board confidence that Sky will continue to
build on the positive momentum of FY22.
In closing, I would like to extend my thanks
to the Board for their time, challenge, and
contribution over the past year, and to
formally welcome Mark Buckman who joined
us as a Director in March. Geraldine McBride
will stand down from the Board at the time
of the Annual Shareholder Meeting, and I
would like to recognise her service to Sky
over the past nine years. The Board also
wishes to thank Sophie and her leadership
team for the value that their efforts and
commitment has delivered to shareholders.
My final words are reserved for you, our
investors. We value your support and
acknowledge that it has been a long road
back from the nadir of the capital raise to
the much-improved position we are in today.
Thank you for your belief in Sky through
these difficult times. Having declared our
first dividend for several years, the Board
is committed to delivering increased
dividends based on growth in free cash flow
in line with the policy that we previously
announced. Going forward, we will look
to pay approximately 40% of the annual
dividend by way of an Interim distribution,
in accordance with the dividend policy.
I look forward to meeting with a number of
you in person and having the opportunity
to address all shareholders further at the
Annual Shareholder Meeting on 2 November.
Philip Bowman
Independent Chairman
3
Sky / 2022 Annual Report
3

4
CEO’s
Update
At the Interim Results in February I talked
about Sky being at a positive inflection
point in terms of our top-line growth.
I’m delighted to demonstrate that
this positive trend is firmly established
and gaining momentum - with more
opportunity ahead of us, as we deliver on
key projects such as the new Sky Box.
Dear Shareholders,
It is my pleasure to
report to you on our
progress in the past
financial year, and to
highlight our plans for
FY23. Today’s results
reflect the hard work
of the Sky team, and
we are proud to share
this update with you,
our owners.
Sophie Moloney
Chief Executive Officer
4

Sky / 2022 Annual Report
55
My team and I are firmly focused on execution
and FY22 has seen a number of important
milestones achieved as a result. Critically, our
return to revenue growth – for the first time
in six years – is a strong sign of the appeal
of Sky’s content and the turnaround we’ve
achieved. Of note:
• We’re stabilising our Sky Box revenue, driven by
improving customer tenure and average revenue
per user (ARPU) growth
• We achieved impressive growth in streaming from
Neon and more so in Sky Sport Now, which is really
hitting its straps and is a clear #1 in sports streaming
in Aotearoa New Zealand
• We are seeing the start of the recovery in our
Sky Commercial Business as our hospitality and
accommodation customers emerge from a
challenging period.
This positive progress is supported by a sharp focus on
costs as we deliver on the commitments made in our
7 December 2021 guidance upgrade. Those include
locking in permanent cost savings through spending more
effectively and making reductions where that makes sense.
As a result, we are pleased to report that Sky has delivered
against our increased guidance forecasts, with revenue
of $736.1 million and reported net profit after tax (NPAT)
of $62.2 million. When adjusted for the impact of one-
offs, including a $14 million gain from the sale of our Mt
Wellington properties, our NPAT of $49.2 million is still
slightly above the top of the guidance range.
As the Chair notes, the result of our focused
effort has been a faster return to sustainable
free cash flow levels that now underpins
the return to dividends and will drive future
growth in shareholder returns.
We are grateful for your support while we ‘righted the ship’
and returned Sky to this positive position but, there remains
more to do.
Sky / 2022 Annual Report

6
This year we have been executing at pace on our strategic plan:
We talk often about what we’re here for: to connect our customers with the sport
and entertainment they love, in ways that work for them, right across the country.
We do that across just over 990k customer relationships and we are firmly focused
on serving even more New Zealanders in FY23 – and serving them well.
There are four pillars that drive the execution of our plan (as set out in
more detail on the following pages), alongside our ‘bedrock’ of rapid and
sustained execution to meet or exceed our key performance targets, and
continuing to be a responsible, adaptive and profitable business:
Customer
Our customers are what matter
most, and in the past 12 months
we have further increased our
focus on meeting their needs,
by securing the content they
care about (as highlighted
further below) and by improving
our products and services:
• The launch of our
transformational new Sky
Box is imminent, reinforcing
Sky’s position as the preferred
aggregator platform in
New Zealand, reliably
delivering Sky content, free-
to-air channels and favourite
apps all in one, easy place.
• We have also invested in
the continued growth of
our streaming services, with
the new Sky Sport Now
platform launched earlier this
week, offering an enhanced
experience for our customers.
• Sky Broadband continues to
deliver on our ‘untelco-like’
customer promise, offering a
great service to our customers.
We have started to report
our Sky Broadband numbers
in our Results, and the good
news is that the attachment
rate is in line with the internal
target we set - but, of course,
we want to see more of our
Sky Box customers enjoying
this quality service.
• This year we have reinforced
the importance of our free-to-
air channel Prime. Our goal is
to meet all New Zealanders
wherever they are, and having a
strong, advertising-supported,
free-to-air offering alongside
our suite of paid services
allows us to do that. The
strong viewership of the recent
Birmingham Commonwealth
Games on Sky, Sky Sport Now
and Prime is a great example
of this approach in action.
Content
One of the challenges of writing
a concise Annual Report is
trying to fully capture the depth
and breadth of our great sport
and entertainment content!
As we set out on page 20, our
combined content offering is
unmatched in this market.
Each week I am reminded about
the power and the joy of being
‘customer segment’ focused, as
we look at our viewership data and
see the clear differences between
those customers happily consuming
and recording linear content via
the Sky Box and those on our
digital streaming services, including
Sky Go. From an entertainment
programming perspective, while
a wonderful ‘procedural’ like Vera
happily wins out week-on-week
during recent months on the Box,
Love Island UK has been the recent
winner on the streaming side. This
serves to confirm the power of our
insights and our platform to meet
customers’ viewing needs whatever
their life stage and preferences.
We continue to focus on securing
the rights that matter to our
customers. In the past year this has
included important wins like the
Premier League as well as securing
great entertainment content
from NBCUniversal, Paramount
and WarnerMedia. Of course,
the content market is an ever-
changing landscape and, due to
our aggregator platform strength,
we continue to be confident about
the value we can offer to partners
and customers, including the
opportunity for bundling direct-
to-consumer apps with our core
services, as well as bundling content
packages, in innovative ways.
On the local front, we are proud of
the work of our talented team at
Sky Originals (with more details set
out on page 25), and grateful for
our partnerships with NZ on Air, the
New Zealand Film Commission and
Te Māngai Pāho. Telling local stories
and supporting the local creative
sector are important to us, and a
core part of being a Kiwi company.
Crew
My team and I are driven by our
promise to make Sky a productive
place for our crew to do their best
work. In the past year we have put
a greater emphasis on leadership,
operating in a more ‘agile’ way and
supporting hybrid working habits.
We’ve made some positive progress,
but the journey is ongoing.
I am immensely proud of our teams
for their work this year and I’m

Sky / 2022 Annual Report
77
grateful to every crew member
who has strived to deliver for our
customers every day – sometimes
in tough circumstances.
As set out on page 32, it is
noteworthy that despite COVID-19
interruptions and restrictions
(including extended periods of
working from home), an intense
year of technology development,
and periods of change and
disruption (including moving to
new premises), our teams delivered
great content to our customers
24 hours a day, 365 days of the year.
Capability
When we talk about ‘capability’,
we mean deploying the right
technology and data solutions
(both our own and those
provided by our partners) to
deliver for our customers.
Our strategy is two-fold; invest
in our own capability where that
makes sense, and work with
excellent partners when they
can bring more to the table.
We have made some good
progress in FY22, but there is
more to be done. In FY23 we will
make targeted investments in
our digital advertising capability
so that we can achieve a more
meaningful share of New Zealand’s
significant advertising pie in the
years to come, alongside further
targeted investment to enable
more sophisticated data analytics
and insights.
Sustainability – and
using Sky ‘for Good’
I made a commitment in my letter
last year that we would make more
meaningful progress in this area
in FY22, and I’m pleased to report
that we are well on the journey.
We outline on page 37 the steps
we are taking to monitor and
manage our environmental
footprint (including signing
up with highly-regarded Toitū
Envirocare to ensure our process is
robust), and we continue to make
meaningful contributions to the
communities in which we operate.
It is a pleasure to share our Sky
for Good story with you, and I
am committed to building on this
work as we continue our journey.
Looking ahead
We are enthused and optimistic
about the coming year, but there
is also hard work to be done. My
leadership team and I are very clear
that FY23 is a year of delivery:
• We will deliver the new Sky
Box to our customers.
• We will maintain our sharp focus
on costs to ensure we can keep
making the content choices we
know matter to our customers.
• We will invest for future growth,
including more capex to come
with the Sky Box project in
particular, as we roll out boxes
to customers across the country.
• We will deliver new pricing and
packaging to continue to meet
the needs of customers at all
life stages.
• We will lean in on our crew
initiatives and focus on
improving engagement
following a disruptive year.
• And we will invest in data
and technology, to power
decisions, lift capability and
enable new revenue streams
(including in advertising)
to fuel future growth.
My summary of FY22 is that
momentum is building, and
that it’s an exciting time to be
at Sky. Our sights are firmly on
FY24 and beyond, as we move
through this inflection point and
position the business to capture
the opportunities we see ahead.
We couldn’t do it without a
number of key people:
• Our Board, and particularly
Chair Philip Bowman, whose
support and guidance is
valued and always on point.
• My strengthened leadership
team, who have added
much capability and drive
to achieve our strategy.
• Our valued content and
business partners.
• Our hard-working Sky crew,
who strive every day to
deliver for our customers.
• Our customers, including the
lovely group of customers who
participated in our photo shoot
for today’s Annual Report.
Thank you for your business,
your loyalty, and your feedback.
• And you, our investors, for the
confidence you have shown in us,
and at times your patience too.
It continues to be a privilege to
lead Sky at this time, and I look
to FY23 with excitement, energy
and determination.
Ngā mihi nui,
Sophie Maloney
CEO
Sky / 2022 Annual Report

Mixing my favourite
things to do
Kids parked in front of
Nickelodeon, Vibe on in
the kitchen. Welcome to
Charlotte's happy place.
8

REVENUE
$M
736.1
4%4%
TOTAL CUSTOMER
RELATIONSHIPS
990,761
SKY BOX
CUSTOMERS
529,521
EBITDA
$M
169.0
6%
DIVIDEND
(CENTS PER SHARE)
7.3
NPAT
$M
62.2
41%
STREAMING
CUSTOMERS
436,388
FY22 at a glance
FinancialCustomer
9
Sky / 2022 Annual Report
9
Adjusted  15%
Adjusted  12%

10

11
We connect New Zealanders with the sport
and entertainment they love, in ways that
work for them, right across the country.
Rapid and sustained execution to meet or
exceed our key results and continue to be a
responsible, adaptive and profitable business.
Our Customers
Nurture and
grow our
customer
relationships
CUSTOMERS
1
Create and
secure the
best sport and
entertainment
for our
customers
CONTENT
2
CREW
Be a place
where our
crew can
do their
best work
3
CAPABILITY
Develop
or partner
for the
best tech
and data
outcomes
4
WHAT MATTERS MOST?
WHAT DO WE DO?
WHAT WE’RE FOCUSING ON
THE ‘BEDROCK’ OF OUR BUSINESS
Sky / 2022 Annual Report
11

1
Developed from the L.E.K NZ Marketing Sizing study
With greater customer centricity
and empathy we’re making it
easy for more New Zealanders to
be entertained in the ways they
want. Whether that’s a family
night in with Sky Box, catching
the game with mates at the pub,
streaming a favourite show on
the go, or watching a new Sky
Originals show free on Prime.
Customer centricity
starts with a deep
understanding of our
customers, their lives
and their needs.
Our life stage segmentation model
1
helps us understand where we are
today and where the spaces are
for growth. We have five different
segments – Native Streamers,
Heartland Champions, Budget
Conscious Families, Connected
Nesters, and Aspiring Families.
Each segment has unique needs,
behaviours and opportunities and
the framework is a valuable tool
that helps us to create customer
strategies that meet (and ideally
exceed) the expectations of these
consumer groups. We use this
framework to guide customer-
facing initiatives in designing
new products, personalising our
customer experiences, creating
content optimisation strategies
and targeted marketing.
Customers
Our customers are what matter most. We’re focused on connecting
them with great sport and entertainment, in ways that work for
them – wherever they are, and at whatever stage of life. In recent
years we have expanded the number of ways for customers to
be entertained with Sky (and with more to come!), which in turn
delivers on subscriber and engagement growth for Sky.
1
Understanding our customers
12

As the ultimate aggregator of
the biggest bundle of content
in the New Zealand market, it’s
the ‘power of our platform’ that
enables Sky to maximise our
content investments to meet our
broad range of customer needs.
How do we do that? We meet
New Zealanders, wherever they are:
• From the powerful reach of our advertising-
supported, free-to-air channel Prime
• Through to our commercial customers (including
pubs and clubs, hotels and motels, and gyms),
offering another way for New Zealanders
to enjoy and discover Sky content
• Then of course the ease and reliability of our
existing Sky Box, as well as the impending arrival
of our exciting new Sky Box, with its transformed
viewing experience and access to favourite
apps alongside Sky and free-to-air content
• And our streaming products Neon and Sky
Sport Now – which are continually improving
and attracting new audiences.
Read on for more details on how we
connect New Zealanders with the sport
and entertainment they love, in ways that
work for them, right across the country.
Meeting New Zealanders,
wherever they are
Sky / 2022 Annual Report
13
Sky / 2022 Annual Report

The new Sky Box is the most transformational
product we’ve launched since we delivered
MySky in 2007. It will deliver a significant
step up in viewing experience, and we
can’t wait to offer it to our customers.
The development process started back
in 2020 when we began talking to 6,000
customers in our Sky Nation panel about
what they would want to see in the product.
Customer feedback has informed every step
of the journey, including the design of the
experience, the customer messaging, as well
as Sky Rewards offers for our loyal customers.
The new Sky Box is much more than a
box upgrade – it’s the centre of Sky’s new
connected entertainment experience. It brings
together Sky TV, on demand programmes
and streaming apps all in one place, with
access via a personalised home screen and
one remote – making it easy for our customers
to find the shows and sports they love.
The hybrid box combines the reliability of
satellite TV with the flexibility of internet-
delivered on-demand content and streaming
apps to create a customised experience.
We have a dedicated team working on
the box alongside our global partners
and we’re looking forward to it being
in market later this calendar year.
Sky Box customers
Our valued Sky Box customers
make up 53% of our customer base,
and in FY22 they accounted for
a significant 70% of our revenue,
including an increase in average
revenue per customer (ARPU).
It’s been pleasing to see the continued
reduction in churn in our Sky Box customer
base this financial year and we are striving to
improve this further by focusing on delivering
excellent experiences for customers, and
by refining our acquisition and retention
strategies and our customer value plans.
New Sky Box
14

There's lots to
love about the
new Sky Box.
All in one.
The best of Sky Satellite
TV, On Demand and
streaming.
1TB Hard Drive.
With MySky you can
record and keep more
of what you love.
Voice Remote.
Talk to Google to
control your TV
using your voice.
Watch on any screen.
With Sky Go, switch
between screens
from TV to mobile.
With greater emphasis on retention amongst
our loyal Sky Box customers, we set out to
develop a rewards programme in 2021.
Sky Rewards recognises and says “thanks”
to our Sky Box customers, acknowledging
their support. Sky Rewards was launched in
December 2021 and all Sky Box customers
who have subscribed to Sky Starter for
6 months or more are automatically
eligible to choose targeted rewards.
Knowing that Sky customers are with us for
entertainment, we focused on how we can
give them access to even more of it – with
an emphasis on an easy experience. We
offer benefits like channel package ‘unlocks’,
free pay-per-view movies twice a year and
access to MySky. From time to time we also
offer additional benefits (like sports tickets,
cinema premieres and merchandise).
We’ve seen some positive results from Sky
Rewards so far, including an improvement in
churn and customer satisfaction rates from
the customers who have actively participated.
Sky Rewards
Record more.
Now you can record
up to 5 shows while
watching another live.
Sky / 2022 Annual Report
15
Sky / 2022 Annual Report

Keep watching. Anywhere.
Sometimes LJ can't tear
herself away from a good show.
With Neon, she doesn't need to.
16

Sky Sport Now had an exceptional year
and saw significant growth, with customer
numbers increasing by an impressive 53%
year on year.
Our customer insights show us that big
sporting events such as the Olympics and
Bathurst draw in ’casual fans’, who then
get a taste of the steady diet of great
sport across the platform. We’re constantly
working towards retaining these customers
and it’s been pleasing to see growth in more
committed sport fans this past year.
We also look for ways to partner with sporting
bodies to bring in viewers to the streaming app.
We were successful in this endeavour
when we partnered with NZ Football for
the World Cup Qualifying match between
New Zealand and Costa Rica by introducing
a $5 football day pass for Sky Sport Now.
Securing the Premier League rights (for six
seasons, starting this August) adds to the
appeal of Sky Sport Now, with all 380 matches
available live and on-demand, alongside a
significant amount of extra fan content.
Our significant platform upgrade for
Sky Sport Now (in August 2022) delivers
customers an enhanced viewing experience,
with significantly improved picture quality,
enhanced content discovery, and features like
multi-screen viewing and ‘Watch from Start’
(which we know from feedback is something
that customers will love, particularly Premier
League fans catching up on matches from
the previous night).
Our premium entertainment
streaming service Neon has shown
strong growth in the past year.
We’ve had some record days in terms of
viewership numbers and in February 2022
the platform had 255,301 unique viewers over
the month – up 30% since our launch month.
We’ve also added a large amount of premium
content to the service from partnership deals
secured over the past year, including the
ViacomCBS deal announced in December 2021.
The team continuously introduces
improvements to the app, and our customers
notice. And when it comes to the most
popular content, Yellowstone was the most
viewed show of the year with 172,698 viewers,
followed by the second season of break-
out show Euphoria with 161,943 viewers.
Season 8 of Love Island saw 83,438 viewers
at the end of season which was +25% more
unique viewers than Love Island UK S7 (to
date). Other highlights of FY22 included
a total of over 56 million hours of viewing
content – 11% higher than the previous year.
Our streaming services Neon and Sky Sport Now are going from strength
to strength. In FY21 our streaming revenue grew by 24% and we set
a goal of continuing this trend, with a target of 15%-25% annualised
growth in streaming revenue over the following three years. In FY22
we’ve come in above the top of that range, with growth of +27% in our
streaming revenue (to $93m from $73m). As well as delivering superb
content to our streaming customers, our teams have been working
hard over the past year to make improvements to both Sky Sport
Now and Neon so that viewers have the best possible experience.
Streaming
Sky / 2022 Annual Report
17

Sky Broadband has been in market for just
over a year, and we are pleased to celebrate
not only meeting our FY22 targets with 17,975
customers (at June year end), but also the
strength of our customer satisfaction scores.
We’ve focused from day one on delivering
an ‘un-telco’, customer-led service, with an
easy connection experience, a dedicated
New Zealand-based customer support
team and great value pricing – and the
customer satisfaction and NPS scores
show that it’s working for our customers.
In FY23 we continue to pursue growth as
we focus on attachment throughout our
Sky customer relationships, along with
leveraging the opportunity within our Sky
Sport Now and Neon customer base.
Our 6,877 commercial customers are an
important part of the business, providing
access to Sky’s great content to more
New Zealanders - in hotel rooms, licenced
premises, gyms, rest homes, sports clubs
and other venues up and down the country
where New Zealanders can gather to enjoy
sport and entertainment.
We recognised the hardships faced by some
of our commercial customers during the
COVID-19 lockdowns and border restrictions,
and provided significant financial as well
as moral support to help with the eventual
return of their own customers.
It is great to see a strong return of
New Zealanders to socialising with friends
at pubs and clubs and we look forward to
a similar return of international visitors in
the coming period.
Sky Broadband
Sky Business
18

A moment of peace
When Mum's busy, Sky Go
keeps Léla and Imola
occupied. Winning all around.
© 2022 &TM Spin Master Ltd. All rights reserved.
19
Sky / 2022 Annual Report

We know the important role sport
plays in New Zealanders’ lives.
Our team delivers inspirational,
compelling content and works
closely with our partners to innovate
and deliver our customers the
best possible experiences when
watching their favourite sport.
Over the last 12 months it has
been a privilege to deliver to our
customers the record-breaking Tokyo
Olympics and the Winter Olympics
from Beijing, the ICC Women’s
Cricket World Cup, world-class
international rugby and netball,
the ever-popular NRL, the Black
Caps (playing internationally),
the A-League and the first ever
Wellington Phoenix women’s team,
and some of the most exhilarating
golf and motorsport we’ve ever seen.
On the local calendar, over the past
year we’ve welcomed the return
of crowds to Super Rugby Pacific
which amplified the atmosphere
on screen. More than half a million
New Zealanders viewed the Super
Rugby Pacific Final on Sky and
Prime, with an additional 120,000
watching it via our digital platforms.
The All Blacks games this year
so far have attracted more than
1 million viewers
1
on Sky and Prime
with an additional 200,000 on
Sky Go and Sky Sport Now.
Sport
With all the fantastic women’s
sport on offer we made a
commitment this year to do even
more to highlight and support
every aspect of women’s sport.
‘See Your Possible’ is our campaign
encouraging everyone to see the
strength, the skill and the courage
of our female athletes, along
with the talent and commitment
of those behind the scenes. Our
core commitment is to continue
to offer quality women’s sport
on Sky and free-to-air on Prime,
and we’re also sharing women’s
stories in interviews, shows and
panel discussions - often curated
and produced by women. We
partner with athletes, codes
and organisations to support
women’s sport from the Black
Ferns, the Farah Palmer Cup
and Sky Super Rugby Aupiki, to
Netball New Zealand, New Zealand
Basketball, the Sky Sport White
Sox, New Zealand Rugby League,
the Warriors Women, the Halbergs,
LockerRoom and the NZOC.
Complementing our live sport,
we produce and deliver superb
TV shows and documentaries,
including creating highly-regarded
documentaries for our partners
(like 1-39 about the Highlanders,
Legacy: The Maori All Blacks and
All Access: Moana Pasifika).
Sport connects New Zealanders across
the country and across communities of all
kinds - and from grassroots to international
competitions, Sky delivers.
Content
At Sky we create and secure the best sport and entertainment for our
customers. Over the past 12 months we’ve continued to strive to make
sure our customers can view the best breadth and depth of content, in
ways that work for them, whenever they want. With many hundreds of
content provider relationships across sport and entertainment, Sky is
the largest aggregator of content in the New Zealand market.
2
1
Source: Nielsen Consolidated 20 TAM data
20

We've been thrilled to introduce
new rugby league shows; including
Once a Warrior with Monty
Betham and The Ditch (produced
by Kava Bowl Media, and focused
on the contribution Māori and
Pasifika make to rugby league).
The Ditch is attracting a strong
young and diverse audience, and
is the first show to be acquired by
Fox League and is broadcasting in
Australia, the Pacific Islands and
also globally via Watch NRL.
Our team’s work on Aaron Smith:
All Access won a New Zealand
TV Award, and Sky was awarded
a Silver Olympic Ring for our
documentary One Fern: One
Hundred Years, which celebrated
the history of the silver fern for
Olympic athletes throughout
the ages. Importantly, Sky was
also awarded a Bronze Ring for
Gender and Inclusion, for our
all-female presentation crew
and the inclusive nature of our
incredible stories and content
delivered from the Tokyo Games.
At the end of 2021 we announced
a ground-breaking deal with
Basketball New Zealand to help
drive the growth of basketball in
New Zealand. The five-year deal
will deliver more than 300 games
per year and is the biggest ever
partnership in BBNZ’s 41-year
history. It includes Sal’s NBL, the
broadcast rights to all Tall Blacks
and Sky Sport Tall Ferns non-FIBA
games globally and at home, and
Tauihi Basketball – the women’s
national league. Our support has
ensured women player payments
are equal to the men’s league. This is
a watershed moment for women’s
basketball as there are very few
competitions in any code around
the world where this is the case.
It was a big moment for Sky when
we won back the rights to the
Premier League for our customers,
starting with the 2022/23 season.
We look forward to offering Kiwi
football fans 380 live games,
along with a significant range of
feature shows. Football is the most
watched sport in the world, and
the Premier League is the most
viewed league, attracting a global
cumulative audience of 3.2 billion
viewers. In recent years football has
grown exponentially in New Zealand,
both in terms of participation (the
most popular team sport for 5–17
year olds) and fan interest. The
Premier League adds to a massive
slate of football on Sky with the
FIFA World Cup in late 2022 and the
much-awaited and locally-hosted
Women’s World Cup in 2023.
We’re excited for what’s to come.
Sky / 2022 Annual Report
21

People are watching more
entertainment content than ever,
and we understand how important
it is to have a wide range of content
on offer for customers. In the past
year we've seen a pleasing recovery
of TV and blockbuster movie
production after the industry was
affected by COVID-19 restrictions.
More content on offer drives greater
viewing engagement. We know from
our data that Sky subscribers watch
nearly 3 hours of linear TV content
a day, much more than non-Sky
subscribers who watch less than 1.5
hours a day. Over the last 12 months
more than 800,000 Sky subscribers
watched at least one Sky channel
every day and more than 700,000
tuned into at least one of Sky’s
entertainment channels each day.
1

The Hitman’s Wife’s Bodyguard,
Wrath of Man, and Wonder
Woman 1984 are just a few of
the blockbuster movies we’ve
had on our platform over the
past year. Our partnerships
with the biggest studios in the
world give us access to the most
popular films across the globe.
We’re home to the drama that gets
people talking, and the mysteries
that leave viewers wanting more.
The White Lotus, Yellowstone, Peaky
Blinders, Euphoria, The Gilded Age,
and The Staircase are just a few of
the premium shows our customers
have had access to, alongside our
From high-stakes drama that
leaves viewers on the edge of their
seat, to comedy movies that have
people laughing their heads off,
there is something for everyone.
Our strong relationships, forged
over many years, with content
providers across the globe have
meant we’ve been able to continue
to bring the very best content to
our customers’ screens. In the last
12 months we’ve signed deals with
some of the biggest studios in
the world including WarnerMedia,
ViacomCBS, Paramount Movies
and many more.
Entertainment
With over 1000 TV
series and movies
to watch every
year, Sky has the
strongest breadth
of quality content
in New Zealand.
Something for everyone
1
Source: Nielsen Consolidated TAM data June 2021 – May 2022
Sky Originals production INSiDE,
which won Best-Short-Form Series
at the International Emmy Awards.
We’re looking forward to continuing
to share the best content on our
screens, starting with Game of
Thrones 'prequel', House of the
Dragon premiering in August.
We know how much joy our kids
channels bring to the little ones
and we’ve seen the success of new
show, The Patrick Star Show on
Nickelodeon, as well as returning
favourites on Cartoon Network
Teen Titans Go! and We Baby Bears
to keep the family entertained.
Our factual and lifestyle channels
continue to draw big audience
numbers with the likes of DNA
Family Secrets, Salvage Hunters
Design Classics, and Sister
Wives. And when there is global
breaking news, our international
news channels are reliably
there to keep New Zealanders
connected and informed.
22

Our partnership with WarnerMedia
gives our customers access to
exclusive premium content from
HBO, Warner Bros. TV & Movies,
CNN and Cartoon Network, along
with a new HBO Max programming
deal for Sky, Neon and Prime.
This deal was the first of its kind in
New Zealand as it includes a local
content production component
for four scripted projects. As the
exclusive Home of HBO in
New Zealand, our customers
are entertained by shows like
the highly anticipated Game of
Thrones prequel House of the
Dragon, along with returning
seasons of Emmy-award winning
shows Succession, Westworld and
Euphoria on Sky’s platforms.
In December we announced a new
deal with ViacomCBS (now called
Paramount) that expanded our
partnership and welcomed a range
of content from SHOWTIME® and
Paramount Television Studios for
Sky Box (including Sky On Demand
and streamed on Sky Go) and Neon.
Customers have access to a range
of blockbuster hits like A Quiet
Place Part II and Snake Eyes: G.I.
Joe Origins, alongside others the
whole family will love with PAW
Patrol: The Movie and Clifford The
Big Red Dog. They also have access
to classics such as Top Gun, Forrest
Gump, Pulp Fiction and many more.
Spotlight on two
key renewals
Paramount
WarnerMedia
Sky / 2022 Annual Report
23

DELIVERING
TO ALL OF NZ,
FREE TO AIR
Over 2.8 million
New Zealanders
watched sport on
Prime this year.
1
We entertain New Zealanders with
lean-back factual entertainment
and thought-provoking
documentaries from here and
around the world, alongside a
brilliant blend of comedy, drama
and blockbuster movies.
Research confirms the impressive
reach Prime has. Over the past six
months Prime had over 3.2 million
viewers, with an average weekly
reach of 1.3 million. We know that
60% of Prime viewers come from
non-Sky homes, which creates
opportunities to reach potential
customers by giving them a taste
of what’s on offer across Sky’s
paid products and services.
1
Kiwis love watching sport
and this is evident in Prime
viewership numbers.
We’re proud of the amount of
free-to-air sport broadcast on
Prime which has included the
All Blacks, Super Rugby Aupiki,
Super Rugby Pacific, Sal's NBL,
Silver Ferns, the Winter Olympics,
Australian Open Tennis and the
ICC Women's Cricket World Cup.
As this report was being written,
New Zealanders were also enjoying
superb daily coverage of the
Birmingham Commonwealth
Games on Prime.
We’re passionate about Kiwis
being connected to sport and
entertainment across the
country, and Prime plays a key
part in making that happen.
Prime
Our free-to-air channel Prime delivers the
best in sport, global entertainment and local
content to all TV homes in New Zealand.
Birmingham Commonwealth Games
1
Source: Nielsen Consolidated TAM data June 2021 – May 2022
24

25
For many years Sky has supported
the creative industries in
New Zealand, including through
our own Sky Originals ventures.
Sky Originals produces an exciting
offering of scripted and factual
content that reflects the diverse
faces of New Zealand. Sky is
delighted to have secured a major
success with the green-light of
premium local crime drama series
Dark City: The Cleaner to be shot
in Christchurch in early 2023.
Based on the bestselling crime
novel by NZ author Paul Cleave,
The Cleaner is produced by local
industry veteran John Barnett and
backed by international studio
Lionsgate, NZ Film Commission,
NZ On Air and Te Māngai Pāho
and funded through the Screen
Production Grant and Te Puna
Kairangi - the Premium Productions
for International Audiences Fund.
Telling diverse stories with new
talented storytellers is at the heart
of Sky Originals’ purpose, with
the return of ground-breaking
Pasifika comedy series Sis in late
2022. Currently in production is
the award-winning transgender
drama Rising Lights (Rūrangi
season 2) as well as comedy series
Bouncers, Not Even and a second
series of Raised By Refugees.
These exciting new shows are in
production now for Sky’s various
platforms – Prime, Neon, Sky Go
and Sky On Demand – for release
later this year and early 2023.
Sky Originals continues its run
of quality documentary series
with A Brave New Zealand
World, Waharoa: The Art Of
The Pacific and crime series
A Question Of Justice all due
for release in late 2022.
Recent green-lit announcements
for 2023 include the return of
hit architecture series Designing
Dreams and the hard-hitting A
Living Hell, which examines the
leaky building crisis. On a lighter
note, the multi award-winning
children’s animation series Kiri
and Lou comes to Sky in 2023.
At the end of 2021 we were
extremely proud to see a Sky
Originals production win at the
International Emmy Awards
when INSiDE won in the category
of Best Short-Form Series.
INSiDE was the only Australasian
nominee across all categories.
Made with the support of NZ
On Air, INSiDE was created
during New Zealand’s COVID-19
lockdown in 2020 and filmed
under strict COVID-19 protocols.
Sky Originals
As a New Zealand media organisation, Sky believes it's
important for New Zealanders to see ourselves on our
screens and to feel connected to our own personal stories.
Raised By Refugees
INSiDE
© Kevin & Content Ltd© 2020 Luminous Beast Ltd. All Rights Reserved.
Sky / 2022 Annual Report
25

We love our family movie night
For Susan, Todd, Matthew and Sam
there's always something good on Sky
Movies for them to enjoy together.
26

Sky / 2022 Annual Report
27

Crew
Our Sky crew are critical to the success of our business and we all
have the same goal – delivering for our customers.
We love being able to deliver great sport and entertainment into the
homes and lives of our customers every day, in ways that work for
them, right across Aotearoa New Zealand.

3
Being a place where
our crew can do their
best work is a key part
of our strategy.
The year of continued COVID-19
disruptions has brought a unique
set of challenges, but it also
creates opportunities to work
and engage in better ways.
We set out some highlights below,
and there is additional information
in our Corporate Governance
statement on page 106.
Our Values
SKY0163 Value Key Points Posters_A3.pdf 1 29/03/22 1:09 PM
SKY0163 Value Key Points Posters_A3.pdf 2 29/03/22 1:09 PM
SKY0163 Value Key Points Posters_A3.pdf 3 29/03/22 1:09 PM
We have three core values at Sky:
In 2022 we launched a special peer recognition programme, Sky Legends,
celebrating colleagues who live our values every day.
28

A key focus for Health, Safety and
Wellbeing has been our operational
response to COVID-19 over the
past year, and ensuring our team
remain safe and our business on air.
Our work plan has included
managing COVID-19 disruption
by protecting on-air crew,
extended periods of work-from-
home, an effective vaccination
policy, and maintaining social
distancing and RAT testing
before entering Sky sites.
Initiatives to support crew
wellbeing included running, in
partnership with RespectEd, a
series of workshops for 50 of
our leaders on having a safe
workplace culture, including around
inclusion, dealing with personal
disclosures and giving feedback.
Health, Safety and Wellbeing
Since 2020 Sky has been using
a “Life at Sky” culture and
engagement survey to better
understand employee sentiment
and engagement, target our culture
and capability investments, and
track progress and performance.
Results from the surveys show the
top 3 areas of strength that our
crew want us to continue doing are:
1) Hybrid and flexible working;
2) Diversity and inclusion; and
3) Executive leadership updates
and accessibility of leaders.
We know we still have work to
do and we’re constantly looking
for ways to ensure that our crew
feel informed and empowered
to do their best work.
Across the next 12 months, as a
result of feedback themes from the
survey, we’re continuing our focus
on improving technology, workload
resourcing and management
for our crew, and refreshing our
remuneration and benefits offering.
Life at Sky
The opening of the new Sky
Downtown office in May 2022,
along with enhancements to
Studio 1 in Mt Wellington, have
created exceptional new spaces for
our people to work and collaborate.
We continue to maintain a focus on
flexible and hybrid working, taking
the positives from the COVID-19
experience and creating options
for our people to do their best
work across our sites and at home.
Our employees have told us that
flexible and hybrid working benefits
their wellbeing and improves
productivity, when balanced with
‘in person’ connections in the office.
We know, from evidence-based
research, this contributes to a
more inclusive work environment,
particularly for those balancing
primary care responsibilities.
Creating spaces where our crew can do our best work
Sky / 2022 Annual Report
29

Through a partnership with
Mataia Keepa from iKōrero
Ltd (Language Consultancy)
we ran a series of Te Reo Māori
workshops for our on air talent and
commentators, which was focused
on improving pronounciation and
understanding of te reo Māori.
One of our commitments is to
build stronger cultural capability
and understanding for our senior
leaders. In the next six months we
will deliver the pilot programme
Te Kaa, which aims to build
competency in understanding and
authentically engaging with Māori.
Sky CEO Sophie Moloney
has become a ‘Champion for
Change’ through Global Women
and has taken a seat on the
board of Global Woman.
‘Champions for Change’ is a group
of over 60 leading New Zealand
CEOs and Chairs, each with a
personal mission to accelerate
inclusive and diverse leadership
in our workplaces. Champions
believe in inclusive environments
where employees can contribute
to the success of the company as
their authentic selves, while the
organisation respects and leverages
their unique talents and gives
them a sense of connectedness.
Together the Champions have
formulated a programme of
work centred on four focus areas:
Increasing Gender Diversity,
Increasing Māori and Ethnic
Diversity, Leading Inclusive Cultures
and Influencing the Outside World.
Sky has maintained consistent
levels of gender balance amongst
employees across the organisation
and in FY22 increased female
representation from 44% to 47%.
The gender split of leadership roles
is 60% male and 39% female, and
there's a 50-50 balance between
male and female team members.
While we aim to have more women
in leadership roles than our current
state, our focus means we are
close to our commitment as a
Champion for Change of achieving
40% Female: 40% Male: 20% of
any gender. Further information
is available in the Corporate
Governance statement on page 106.
Gender Equity
Cultural Development
Sky has taken the Pride Pledge,
which is a values-based commitment
that organisations and individuals
can take to demonstrate dedication
to the safety, visibility, and
inclusion of the rainbow members
of their community and workforce,
both internally and externally.
Our internal Rainbow employee
network helps to drive our
work in this space.
Rainbow Pledge
Diversity and Inclusion
At Sky, we value diversity of gender, age, ethnic and cultural background,
sexuality, experience and beliefs. We believe that an organisation that
reflects the diversity of our current and future customers will be better
able to deliver personalised customer experiences that drive value, and will
be key for enabling us to attract and retain the best talent. We refreshed
our policy and objectives in 2022, and continued to progress initiatives
to enhance our diversity of thought and develop a culture of inclusion.
30

News for Breakfast
Lei loves being up to speed
on the world around her, so
watching the global news
channels is her morning ritual.
Sky / 2022 Annual Report
31

32
COVID-19 continued to
be a key consideration in
the operation of our core
services. Among other
things, an early Delta-
variant case within our
crew in the days leading
up to the August lockdown
resulted in a shutdown of
all operations in our main
Mt Wellington site and
isolation of most Sky staff
for the first two weeks of
lockdown. Nevertheless,
thanks to our technology
investments and the brilliant
business continuity planning
by numerous Sky teams,
our customers continued to
receive great broadcast and
streaming services from Sky
throughout. Not surprisingly,
we will continue to make
investments in these areas.
Sky’s viewership data helps
drive decision-making around
content and products, and with
our hundreds of thousands of
customers across Aotearoa, we are
uniquely placed to understand (and
meet) the viewing preferences of
large numbers of New Zealanders.
We have built excellent partnerships
with experts like Dot Loves Data
to further improve our ability to
drill into and create insights from
data to meet customer needs.
During the year we have also
laid key foundations for the
improvement in our internal data
and insights capability in order to
deliver more personalised services
and features to our customers.
We invested in adding key talent,
developing data platforms and
expanding data sources to further
enhance our ability to be a data-
led organisation. The results of
those investments will become
increasingly clear in, among
other things, our new products
and user journeys launching
in the next few months.
More investment is planned for
FY23 that will allow us to accelerate
our work in this rapidly advancing
space, working with the best
companies in AI, personalisation,
and customer life-cycle
management to deliver a world-
class experience for our customers.
The show
must go on!
Capability
Our Capability workstreams are all about delivering to our
customers, by deploying the right tech and data – our own
and our partners – to deliver the best outcomes.
4
We have made important
progress in the past year, with
the enhancement of our technical
capabilities contributing to a more
agile Sky, helping us to deliver
an uncompromising viewing
experience for our customers
across our multi-product business.
There is more work to be done,
but it has been a major year of
development – with an even
bigger year of delivery of key new
products to come. And it has
been achieved whilst we continue
to reliably deliver great content
to our broadcast and streaming
customers, 24x7, including almost
29,000 hours of live programming,
all while navigating the impacts
and restrictions of COVID-19.
Using data and insights to
deliver for our customers
We have a deep wealth of information
about our customers and their preferences,
and our investments in recent years place us
in a good position to use that information to
better serve our customers. We have set the
foundations well, and now we will make the
most of them.
A snapshot of our
technology delivery in FY22:
Over 100 linear channels on
a 24x7 basis
22,000 individual pieces
of content put to air each
month for Sky Box, Neon, Sky
Sport Now and Sky Go
We process an average
of 600,000 payment
transactions every month
32

As outlined on page 14, the new Sky
Box aggregates the best of Sky’s
sport and entertainment content
alongside the apps New Zealanders
love – all on one state-of-the-art
platform. The new hybrid (satellite
and streaming) box delivers content
with even more recording capability,
along with favourite apps and free-
to-air channels; and our Sky team is
also busy working on a solution for
Vodafone TV customers who prefer
IP-only access to Sky.
Our development programme
has taken place in the context of
tremendous challenges, both in
New Zealand and offshore.
Through prolonged lockdowns
and COVID-19-related illness and
isolation, Sky’s teams have adapted
to deliver on our commitments
to our customers. Beyond
New Zealand’s borders, the impacts
of COVID-19 and the war in Ukraine
continue to be felt, affecting our
global suppliers and offshore
development teams, and with the
global chip shortage impacting
our manufacturing partners.
Nevertheless, the efforts of Sky’s
teams and those of our partners
mean we expect customers to be
enjoying their new and improved
Sky services later this calendar year.
This work underpins our desire to
improve the turnaround time for
delivering services to our customers,
as well as giving customers the
ability to self-serve where they
wish to do so. The improvements
delivered in Sky’s service include:
• Simplified user journeys for
buying and upgrading Sky
services including Sky Broadband
• Self-install of the Sky Box
for existing customers
with easy onboarding and
sign-in via QR Code
• Salesforce widely deployed to
customer care agents enabling
improved call handling and
routing, live chat capability
• Improved call handover
between specialist agents.
While good progress has been
made with these enhancements, we
acknowledge that there is more we
can achieve. We continue to evolve,
making sure our services are as easy
as possible to access and enjoy.
FY23 will see a continuation of
customer care and sales journey
improvements to deliver greater
efficiency and enhanced self-
service channels, and a better
experience for our customers.
Customer Experience
Customer platform
enhancements
have resulted in a
modernised, simplified
customer experience.
Sky undertook
significant development
activities during the
year in preparation
for the launch of the
new Sky Box.
New Sky Products
Sky / 2022 Annual Report
33

Time to myself
When Teatai feels like
time to himself he takes
a break with Neon.
34

Sustainability at Sky
At Sky, we recognise
we are in a privileged
position with the
ability to make a
positive contribution
for the people,
communities and
places our business
connects with:
• Our services are in the hands and
homes of hundreds of thousands
of New Zealanders every day,
right across the country
• Our partners – globally and
at home – trust us with their
reputation, representation
and the engagement of
their content, codes, fans,
brands and technology
• We’re part of communities
and a nation that have a right
to expect that we will act
with integrity and empathy,
minimising our environmental
impact and earning our place as
a responsible corporate citizen
• Our crew share their time
and talents and deserve to
be treated with respect and
equality, and to have the
opportunity to take part in
meaningful and rewarding work
• And our shareholders have
entrusted us with stewardship
of their funds to invest wisely on
their behalf, in ways that deliver
an appropriate return in an
ethical and sustainable way.
Sky's approach to sustainability
takes into account the expectations
and needs of each of our
stakeholder groups – and we
will continue to consult with
them as we develop and
implement our programme.
Some aspects of our work – such as
our contribution to the communities
in which we operate, and our
strong corporate governance
framework – have been part of the
way we do things at Sky over many
years. In others, like measuring
and mitigating our environmental
impact, we’re at an earlier stage of
our journey.
In 2022 we committed to
formalising our approach to
sustainability. As part of this
commitment, we have refreshed
our corporate social responsibility
(CSR) programme, tackled some
new areas within the corporate
governance framework and stepped
up our efforts in a number of other
areas, as reported below.
In a year from now, we expect to:
• Share Sky’s materiality matrix,
developed in consultation with
our stakeholders
• Align Sky’s approach to
sustainability with a recognised
global reporting framework
• Report on Sky’s carbon emissions
and share our reduction plans.
We are committed to improving.
We are proud of the contribution
and work we have done to date,
whilst recognising there is more
to be done.
Sky / 2022 Annual Report
35

Every Sky customer – through their
Sky subscription – helps to support
New Zealand’s creative and sporting
sectors, funding tournaments,
teams, creative projects and
initiatives across the country.
We’re proud to support
New Zealand’s sport sector, with
tens of millions of dollars going to
local codes, teams and initiatives
each year, from grassroots to high
performance. More details are
on our website, under 'About Us:
Sponsorships and Community'.
Through Sky Originals, we
have supported emerging and
established talent in the creative
sector with scripted series including
Bouncers, Not Even and Rising
Lights all helping to kickstart the
careers of newer storytellers in
New Zealand’s screen industry.
We have also helped to celebrate
excellence in our sector, with Sky
sponsorships of the TV Awards,
Voyager Media Awards (Sport
Journalist of the Year), and the
Halbergs (Emerging Talent Award).
Funding the future
A safe and trusted presence
in our customers’ homes
• We took such care to meet
Broadcasting Standards that
we only had five complaints to
the Broadcasting Standards
Authority, none of which were
upheld. For context, the BSA
received 206 complaints in its
last reported year about all
New Zealand broadcasters.
• We participated alongside
other broadcasters in a review
and refresh of the Code of
Broadcasting Standards, making
the process and standards
easier for New Zealand viewers
to understand and engage in.
Supporting and promoting
Women’s Sport
• We launched our “See Your
Possible” campaign to encourage
everyone to see the strength, the
skill and the courage of female
athletes. It reinforces the value
for women and girls of seeing
positive sporting role models on
screen and it’s been exciting to
see women’s sport grow in 2022.
In one spectacular week in March,
women’s sport accounted for
53% of the total viewer hours
in our top 50 live events on Sky
Box, Sky Go and Sky Sport Now.
14 of the top 20 rating slots on
Sky Box were women’s sports.
• We were thrilled to support the
first all-women commentary
team to bring Sky's Tokyo Olympic
coverage to New Zealanders.
Te reo Maori and Pasifika languages
• Sky strives to reflect all of
New Zealand. Throughout the
year we continued to commit to
alternative language commentary
options across major sporting
events, including All Blacks
v Argentina with Tūmamao
Harawira kō Wairangi Koopu
and Silver Ferns v England’s
Roses with Te Rina Kowhai kō
Marutawhaorere Delamere.
• We ran a series of Te Reo Māori
workshops for on-air talent
and commentators, focused on
improving pronunciation and
understanding of Te Reo Māori.
On screen presence
We take our role as a trusted
broadcaster very seriously. We
are committed to upholding
broadcasting standards, including
under the Code of Broadcasting
Standards (for our Pay TV and
free-to-air content), and the codes
for Commercial Video on Demand
(for Neon) and the Advertising
Standards Authority - but also in
terms of providing a positive impact
on our communities by reflecting the
people and cultures we represent.
In the 2022 financial year:
Image courtesy of Are Media
36

As a publicly listed company we
are committed to upholding the
standards set by both the NZX
Corporate Governance Code and
the ASX Corporate Governance
Principles and Recommendations
(4th edition) to deliver effective
governance of Sky for the benefit
of our stakeholders – including
through our policies and practices.
Sky’s 2022 Corporate Governance
Statement is available on our
website. In FY22 we have worked on:
• Sky's latest Modern Slavery
Statement (filed with the
Australian Border Force,
under the Australian Modern
Slavery Act 2018) strengthened
measures to reduce the risk of
modern slavery practices across
the group’s operations and
supply chain through proactively
scanning for potential risks.
• We also introduced a Supplier
Code of Conduct, affirming
Sky’s commitment to ethical,
responsible and sustainable
business conduct. The next steps
in this work will be to engage
directly with key suppliers to
ascertain their ability to assess
and address their modern slavery
risks and to then incorporate the
learnings into Sky’s Procurement
Policy and working practices.
• We introduced an Anti-Bribery
and Corruption Policy which sets
out the minimum standards of
conduct to ensure Sky complies
with all relevant anti-bribery
and corruption legislation in all
jurisdictions in which we operate.
Taking a stand
Environmental Responsibility
• During FY22 we have established
tracking systems to capture
Sky’s emissions inventory
data. We plan to evolve this
programme in the 2023 financial
year, by initiating reporting on
our environmental footprint
and appropriate reduction
targets. To help guide and
challenge our thinking we are
working with ToiTū Envirocare
to make sure our measurement
systems are robust, and to
provide our stakeholders with
assurance on our outcomes.
• The work we have begun this year
will advance our sustainability
strategy and reporting on
climate impacts, and we
expect to outline our carbon
reduction plans in 2023 in line
with our participation in ToiTū’s
Carbon Reduce programme.
• Sky’s environmental footprint
includes Scope 3 emissions
from air travel, particularly in
relation to sporting events.
One of our learnings during the
COVID-19 period was the ability
of our commentary teams to
call some games ‘down the tube’,
rather than always travelling to
events – with no impact on the
audience. We’re conscious of the
need to minimise our footprint
and will continue to look for
ways to adapt our approach.
We are committed to measuring and reducing Sky’s impact on our
environment, including in relation to greenhouse gas emissions, in
line with the Paris Agreement and the New Zealand Government’s
ambition for New Zealand to become carbon neutral by 2050. We
recognise our work in this area is at an early stage, and while initial
assessments indicate Sky’s emissions profile is relatively low, we are
committed to playing our part.
• Other initiatives include:
- Prioritising waste minimisation
programmes, including
partnering with IT Recycla
Limited to recycle end-of-life
Sky modems, set-top boxes,
remotes and batteries.
- Designing our new Sky Box with
longer-lasting batteries and
a reusable box, with a longer
lifetime than our existing box.
- Continuously looking for ways
to reduce our environmental
footprint in our day-to-day
programmes. For example,
our recent CAR process cooler
upgrade saw us realise ~50kW
of energy savings for the
same cooling load, and the
removal of air conditioning
cooling towers significantly
lowered water consumption.
Sky / 2022 Annual Report
37

As a business we connect
New Zealanders with the sport and
entertainment they love, in ways
that work for them, right across
the country. Our initiatives with Sky
for Good align with this business
strategy by using our entertainment
and sport to enhance the lives of
New Zealanders in need, whether
it be by providing free Sky services
in children’s hospitals and to air
ambulance staff, free tickets to
sport matches, or providing a
fun-filled day for under-privileged
children at one the Special
Children’s Christmas Parties.
Please visit the Sky for Good page
on the Sky website for full details,
and here are three examples:
• Sky has been a longstanding
supporter of the Special
Children’s Christmas Parties
involving nearly 10,000 Kiwi
children with special needs,
or challenging life or health
circumstances. Held across 6
regions, we’ve been supporting
the parties for 18 years. It’s
not just about a donation for
us – it’s also an important
opportunity for a number
of our crew to contribute
their time and talent by
volunteering on the party days.
• Our relationship with Starship
- New Zealand's first hospital
built exclusively for children and
young people and their health
needs – is another opportunity
to give back. Starship’s prime
focus is on delivering family-
centred care in a child friendly
environment and we’ve been a
sponsor since 2001. For the last
22 years we’ve provided Sky in
Starship bedrooms to ensure
kids are entertained and have
something to take their minds
off hardships they may be facing.
We also donate airtime to help
Starship spread their message
of the great work they do.
• This year we were also proud to
get behind a special initiative
called Tries for Tonga (in
conjunction with New Zealand
Rugby and Rugby Australia),
which raised over $100,000
during the DHL Super Rugby
Pacific for the Red Cross and
their work to support Tonga
communities following the
Hunga Tonga–Hunga Ha'apai
eruption and tsunami.
Sky for Good
Our Sky for Good
programme is about
using our platform,
our people, and
our presence in the
community – as well
as meaningful and
targeted financial
contributions – to
make a difference.
38

Put life on pause
Ron and Annette never
miss the good parts
thanks to MySky. Ron
reckons that's why he
always has the remote.
Sky / 2022 Annual Report
39

Keith was appointed to the board in
April 2020. He has a long-standing
record of leadership as a director and
advisor to companies in a diverse
range of industries, including the
energy sector, rural services, printing,
media and exporting. Keith is Chair
of listed company Goodman (NZ)
Limited (the Manager of Goodman
Property Trust) and is a director of
several other private companies. He
is a past President of the Chartered
Accountants Australia and
New Zealand.
Philip was appointed Chair of
Sky in September 2019. Philip is a
distinguished businessman who has
led several major global companies
and served on the board of a
significant number of public and
private companies. Philip brings
knowledge of the media sector,
including having served on the board
of Sky UK for ten years. Other roles
include Group Finance Director of
Bass, CEO of Bass Retail, CEO of
Allied Domecq, CEO of Scottish
Power, CEO of Smiths Group, senior
non-executive director of Burberry,
Chairman of Liberty, Chairman of
Coral Eurobet, Chairman of Miller
Group, and non-executive director of
Scottish & Newcastle. He currently
sits on the boards of two other
listed companies, Kathmandu and
Ferrovial SA. Philip has a degree
with honours in Natural Sciences
(University of Cambridge) and Master
in Natural Sciences (University of
Cambridge). He is also a Fellow
of the Institute of Chartered
Accountants of England and Wales.
Joan was appointed to the board in
September 2019. She brings a wealth
of experience spanning a 25-year
career in the media industry, including
CEO positions at Fairfax and the
Radio Network as well as being the
former Chair of TVNZ. Joan’s depth
of governance experience includes
her current roles as Chair of The
Warehouse Group, a director of ANZ
Bank New Zealand, Origin Energy
Ltd and she has previously held Chair
positions at Auckland International
Airport and Mercury NZ Ltd. Joan
is a Trustee of the Louise Perkins
Foundation, and is Chair of a steering
committee working to increase the
percentage of South Auckland Maori
and Pacific Island students taking
up roles in the health sector. She
holds a Masters Degree in Business
Administration from the University of
Auckland. In 2015 Joan was named
Supreme Winner in the Women of
Influence Awards and was named as
Chairperson of the Year in the Deloitte
Top 200 Management Awards.
Philip Bowman
Independent Chairman
Keith Smith
Independent Director
Joan Withers
Independent Director
Board of Directors
40

With an extensive track record of
strategy and delivery across television,
publishing and technology, Mike was
appointed to the board in September
2017. A New Zealander, he has lived
and worked in the UK since 1989.
Fifteen of those years were spent
at Sky UK, initially as the Director
of Strategy, then six years as Chief
Operating Officer. He played a
prominent role in most of Sky UK's
major strategic decisions and its
major commercial and regulatory
dealings during this period. From
2013 to 2015 Mike was CEO of
News UK. Since 2015, Mike has had
a series of non-executive roles and
these currently include Chairman of
British Gymnastics and director of
Arqiva Group Limited (the UK’s main
independent provider of television
broadcast infrastructure). He is also
active as a strategy advisor to a series
of major players in the media sector.
Mark was appointed to the board in
March 2022. Mark is a highly skilled
business leader based in Australia
with a deep background in technology
digital innovation, marketing, media
and broadcasting, and customer
engagement. His executive career has
spanned North America, UK/Europe,
and APAC, with roles at Foxtel, Telstra,
the Commonwealth Bank of Australia
and McCann. He is a Senior Advisor
to Accenture, and his governance
credentials include the boards of
OzTAM, the Australian free-to-air
television consortium, technology
start-ups and social enterprises.
Geraldine was appointed to the
board in September 2013. A renowned
Enterprise Business Technology and
AI thought leader with a science
background, Geraldine’s global career
spans 30 years, with senior executive
roles in IBM, Dell and SAP. Her most
recent roles were President & CEO
of SAP North America and SAP Asia
Pacific Japan. Geraldine is a Director
of Fisher and Paykel Healthcare
Corporation. She is also CEO &
Director of MyWave.AI (My Wave
Holdings Limited), a market leading
Enterprise AI company focused on
Intelligent Personalisation by putting
the customer at the centre
of business.
Mike Darcey
Independent Director
Mark Buckman
Independent Director
Geraldine McBride
Independent Director
Sky / 2022 Annual Report
41

42

For the year ended 30 June 2022
Our 2022 Financials
Financial Overview .....................................................................................................44
Financial Performance Trends
.........................................................................49
Directors’ Responsibility Statement
..........................................................50
Consolidated Income Statement
.................................................................52
Consolidated Statement of Comprehensive Income
................53
Consolidated Balance Sheet
............................................................................54
Consolidated Statement of Changes in Equity
..............................55
Consolidated Statement of Cash Flows
...............................................56
Notes to the Consolidated Financial Statements
........................57
Independent Auditor’s Report
......................................................................100
43
Sky / 2022 Annual Report

44
Summary
The 2022 financial year delivered a strong result for Sky as customer numbers continued to climb and revenue returned to growth
for the first time in six years, driven by a strong performance in streaming, continued stabilisation in Sky Box revenues, an initial
contribution from Sky Broadband and recovery in Commercial and Advertising revenues.
While FY22 saw an expected step-up in programming costs, a firm focus on cost control enabled the Company to significantly
increase EBITDA and NPAT guidance in December 2021, and reductions in depreciation, amortisation and financing costs delivered
a 7.3% improvement in adjusted profit before tax.
Following a competitive bidding process, Sky sold its Mt Wellington properties for $56.0 million, with the sale completed in March
2022. The agreement includes a ten-year leaseback of the building known as Studio One and a one-year leaseback over the building
known as Studio Three. The sale resulted in a non-recurring gain on sale of $14.0 million.
Reported profit after tax of $62.2 million was 40.7% higher compared to the $44.2 million achieved in the prior year. On an
adjusted basis per the table below, net profit after tax of $49.2 million was 12.0% higher than the prior year.
As at 30 June 2022 Sky had $139.0 million in cash on hand and an undrawn banking facility of $150.0 million.
Non-GAAP Financial Information
Sky has used non-GAAP profit measures when discussing financial performance. The directors and management believe that
these measures provide useful information on the underlying performance of the Group. They are used internally to evaluate
performance, analyse trends and allocate resources. Non-GAAP financial measures are not prepared in accordance with NZ IFRS
and are not uniformly defined and therefore should not be viewed in isolation nor considered as a substitute for measures reported
in accordance with NZ IFRS.
The results and adjustments are summarised below:
Group Consolidated Results for the years ended 30 June
In NZD millions
2022
(adjusted)
2022
(reported)
2021
(adjusted)
2021
(reported)
Adjusted %
inc/(dec)
Financial performance data
Total revenue
736.1736.1711.2711.23.5
Other income
2.916.82.713.57.4
Total operating expenses
585.3583.9534.1544.49.6
EBITDA
153.7169.0179.8180.3(14.5)
Less
Depreciation, amortisation and impairment
80.280.2106.5106.5(24.7)
Net operating profit before interest, income tax
and impairment of goodwill
73.588.873.373.80.3
Impairment of goodwill
-2.0---
Net finance costs
6.16.110.510.5(41.9)
Profit before tax
67.480.762.863.37.3
Income tax expense
18.218.519.019.1(4.6)
Profit after tax
49.262.243.844.212.3
Summary of Adjustments
2022 adjustments included one-off expenses totalling $0.5 million, comprising $1.2 million of programming impairments (refer
note 10), provision release for Holiday Act compliance of ($2.7) million (refer note 27) and impairment of goodwill relating
to RugbyPass of $2.0 million (refer note 16). Other income includes $14.0 million relating to the gain on the sale of Sky’s Mt
Wellington properties (refer note 5).
Prior year adjustments were $7.5 million, relating to programming impairments, $2.8 million of costs associated with the
mutually agreed exit of the former CEO and other income adjustments of ($10.8) million relating to the gain on sale of Outside
Broadcasting assets of $5.8 million, the settlement of the RugbyPass earnout resulting in a provision release of $3.6 million, and
a RugbyPass provision release of $1.5 million (refer note 5).
The adjustments above do not include the impacts of COVID-19.
Financial Overview

45
Sky / 2022 Annual Report
In NZD millions
30-Jun-2230-Jun-21
Statutory profit after tax
62.244.2
Adjustments to earnings as follows:
Content write-offs
1.27.5
Non-recurring costs included in other costs
(2.7)2.8
Non-recurring income included in other income
(14.0)(10.8)
Impairment of goodwill
2.0-
Tax effect of adjustments
0.50.1
Total adjustments
(13.0)(0.4)
Adjusted profit after tax
49.243.8
Customers
Sky’s total customer relationships grew 4% during FY22. Sky Box customer retention continued to improve, with annualised churn
reducing by 17% year on year (annualised churn of 10% in FY22 from 12% in FY21). Activations were lower due to the optimisation
of acquisition strategy improving lifetime value through lower discounting and higher tenure inflow. In addition, volumes were
suppressed by extended Auckland lockdown in the first half of the year. Average revenue per user (ARPU) returned to growth,
including through the unwinding of the Reseller migration one month free offer, lower levels of discounting and the May 2022 sports
package price increase – the first increase for Sky Box since April 2019.
Streaming customers continued the recent trend of strong growth, rising 11% in absolute terms and by 18% when adjusted for the
impact of discontinuation of streaming services in the RugbyPass business. Of note, within the Streaming category, Neon and Sky
Sport Now customer numbers grew by 14% and 53% respectively, with the strong growth in Sky Sport Now, combined with the full
12 month impact of the May 2021 Neon price rise contributing to an improved ARPU result.
Sky Broadband customers were close to 18,000 by year end following the first full year in market, achieving an attachment rate
(to Sky Box) of 3.3%. Commercial customers remained relatively stable despite a challenging period for some hospitality and
accommodation providers.
Following the announcement Vodafone was shutting down its television service, Retransmission customers (who stream Sky
content through Vodafone TV) migrated to a direct billing relationship with Sky in March 2022 and are being offered a migration
path to Sky products.
20222021202020192018
Sky Box customers
1
529,521554,690 576,704 609,637 651,726
Streaming customers
2
436,388393,179404,321159,767106,366
Commercial customers
3
6,8777,2998,5449,4369,635
Sky Broadband customers
4
17,9751,930---
Total customer relationships
990,761957,098989,569778,840767,727
Sky Box net customer growth
-5%-4%-5%-6%-6%
Sky Box acquisition
5
29,02847,27341,51049,95259,603
Sky Box churn
5
(54,197)(69,287)(74,443)(92,041)(103,394)
Streaming net customer growth
11%-3%153%50%-4%
Sky Broadband attachment rate
3.3%----
Sky Box ARPU ($ monthly)
6
78.8478.4082.0883.4684.54
Streaming ARPU ($ monthly)
7
18.1917.4619.80--
Sky Broadband ARPU
8
72.13----

(1) Sky Box customer groups comprise residential satellite customers including Reseller customers prior to migration during 2021.
(2) Streaming currently comprises Neon, Sky Sport Now, RugbyPass and Retransmission customers.
(3) Commercial customers include licensed premises and hospitality venues, accommodation providers and other commercial businesses.
(4) Sky Broadband customer relationships include customers that attach Broadband to their Sky Box and Broadband only customers.
(5) Sky Box activations, disconnections and churn is for residential customers only, including Reseller customers in prior years.
(6) Sky box subscription ARPU is average revenue per user for residential customers, including Reseller customers in prior years, calculated exclusive of
GST, as average for the twelve-month period.
(7) Streaming subscription ARPU is the blended rate, exclusive of GST, across Neon, Sky Sport Now and Retransmission, and in prior years
RugbyPass and Lightbox.
(8) Sky Broadband ARPU is the average monthly revenue attributable to broadband related services, including Wi-Fi and voice services, exclusive of GST.
Financial Commentary (Continued)

46
Financial Commentary (Continued)
Revenue Analysis
Sky’s total revenue was $736.1 million, as follows:
In NZD millions
20222021% inc/(dec)
Sky Box subscriptions
1
514.0532.1(3.4)
Broadband subscriptions
8.80.1n/a
Streaming subscriptions
2
93.373.327.3
Commercial revenue
47.343.68.2
Total subscription revenue
663.4649.12.2
Advertising
47.644.96.0
Installation and other revenue
25.117.245.9
Total other revenue
72.762.117.1
Total revenue
736.1711.23.5
(1) Sky Box subscriptions relates to Sky Box customers (including Reseller customers in 2021).
(2) Streaming subscriptions include Neon, Sky Sport Now, Retransmission and included RugbyPass in 2021.
Sky Box revenue decline slowed markedly in FY22, down by 3.4%, compared to an 8.6% decline in FY21, as churn levels
continued to reduce and more, higher value customers chose to stay. The overall reduction in revenue was mainly due to
the loss in Sky Box customers, although notably churn rates continued to improve to 10.0% from 12.2% year on year and
average ARPU returned to growth.
Sky Broadband revenue increased following solid growth in customer numbers through the first full year since launch.
Streaming revenue continued to deliver a strong performance, increasing by 27.3% year on year, despite revenue from RugbyPass
declining following the strategic move away from streaming. The revenue increase was driven by customer growth in Neon and Sky
Sport Now as well as the impact of a May 2021 increase in Neon pricing and the return of sport content and success of shorter-
term event passes, such as the Olympics and Cricket World Cup for Sky Sport Now.
Commercial revenue included revenue from Sky Box subscriptions for licensed premises, accommodation providers and other
commercial businesses such as retirement villages. Following an extended period impacted by COVID-19, in which Sky provided
support to customers, revenue showed continuing signs of recovery in FY22, growing by 8.2% year on year.
Advertising revenue grew by 6%, despite the impact of advertising on Discovery channels transitioning from Sky to Discovery in
February 2021.
Installation and other revenue rose by 45.9% due to on-sold programming rights (including a sub-licence for the Olympics) and
through revenue from Sky Box and Broadband installations and satellite access fees.

47
Sky / 2022 Annual Report
Expense Analysis
A further breakdown of Sky’s operating expenses is provided below:
30-Jun-2230-Jun-21
In NZD millions
AdjustedReported% inc/(dec)
adjusted
% of revenue
adjusted
AdjustedReported% of revenue
adjusted
Programming
364.1365.313.149.5321.8329.345.2
Subscriber related costs
93.293.20.112.793.193.113.1
Broadcasting and
infrastructure
70.670.65.89.666.766.79.4
Other costs
57.454.79.37.852.555.37.4
Depreciation, amortisation
and impairment
80.280.2(24.7)10.9106.5106.515.0
Total operating expenses
665.5664.03.990.4640.6650.990.1
Programming costs comprise the costs of programme rights and programme operating costs. Programme rights
costs include sport rights, pass-through channel rights (e.g. ESPN, Living Channel, National Geographic etc.), movies (including
pay-per-view), streaming and on demand rights, and music rights. Programme operating costs include the production of live
sport events, satellite and fibre linking costs and original studio productions.
Programming costs increased by 10.9% on a reported basis, in part due to an expected COVID-19 impact on live sports events
and competitions in the prior year, an expected step up in rights costs and both the Summer and Winter Olympics in July 2021 and
February 2022 respectively, as well as more significant Covid-related equitable reductions in the prior year.
Adjusted programming costs in both 2022 and 2021 have been adjusted for one-off impairments mentioned earlier.
Subscriber related costs include the costs of servicing and monitoring equipment installed at customers’ homes, indirect
installation costs, the costs of Sky’s customer service department, sales and marketing activities and general administrative costs
associated with managing customer relationships.
Subscriber related costs remained flat year on year while driving growth in streaming products and through the launch of
broadband, due to a continued emphasis on cost control and cost efficiencies.
Broadcasting and infrastructure costs mainly consist of transmission and linking costs for transmitting Sky and Prime’s content
from its studios in Auckland to customers over satellite to devices in the home, streaming content over IP, and other distribution
platforms and the costs of operating Sky’s television stations and employee working environments at Mt Wellington, Albany and
the Auckland CBD. These costs have increased year on year, driven primarily by the increased Broadband subscriber base.
Other costs were 1.1% lower on a reported basis in 2022. Costs include advertising costs, and overhead costs relating to corporate
management of the Sky Group including consultancy costs. Adjustments in 2021 related to the termination benefits paid to the
former CEO and in 2022 the Holidays Act compliance provision release.
Depreciation, amortisation and impairment costs include depreciation charges relating to subscriber equipment for satellite
dishes and decoders owned by Sky, fixed assets such as television station facilities, amortisation of the right-of-use assets created
under NZ IFRS 16 and amortisation of computer software and intangible assets. Depreciation of property, plant and equipment
decreased as decoders reached the end of their useful life. Amortisation of intangibles is lower than FY21 due to higher rates of
amortisation for Sky Sport Now and SkyGo infrastructure in the prior year. Depreciation of right-of-use assets reduced due to
lower monthly costs for Optus lease payments from mid-November 2021.
Depreciation and amortisation costs are summarised below:
In NZD millions
20222021
Depreciation of property, plant and equipment
27.3 36.4
Amortisation of intangibles
22.2 33.9
Depreciation of right-of-use assets
30.7 36.2
Total depreciation and amortisation80.2 106.5
Financial Commentary (Continued)

48
Financial Commentary (Continued)
Finance costs, net
Finance costs decreased from $10.5 million to $6.1 million due to the repayment of the $100 million bond in March 2021.
Capital expenditure
Sky’s capital expenditure is summarised as follows:
In NZD millions
20222021
Subscriber equipment
1.03.5
Installation costs
11.614.8
Projects under development
14.12.0
Software
13.418.2
Other
4.66.8
Total capital expenditure
44.745.3
Capital expenditure has continued to transition towards a greater emphasis on growth focused areas, including migration of
platforms and services to the cloud, improvements in data management services and the implementation of Sky’s broadband
service. A number of these investments have been foundational to the development of the new Sky Box. Investments in Sky’s
satellite delivery platform have been reducing and Sky continues to move towards a less capital intensive operating model.

49
Sky / 2022 Annual Report
In NZD 000
20222021
7
202020192018
For the year ended 30 June
Income statement
Total revenue and other income
752,864724,754747,646795,126852,710
Total operating expenses
583,848544,377583,395564,958566,900
EBITDA
1
169,016180,377164,251230,168285,810
Depreciation, amortisation and impairment
2
80,171106,496119,318131,103102,414
Impairment of goodwill
2,000-177,500670,000360,000
Net interest expense and financing charges
4,95811,71515,85913,65017,576
Losses/(gains) on currency and other
1,136(1,179)(2,120)(1,208)(66)
Net profit/(loss) before income tax
80,75163,345(146,306)(583,377)(194,114)
Balance sheet
Property, plant,and equipment, intangibles and
right-of-use assets
180,394215,621287,962213,702268,925
Goodwill
244,264255,245256,312395,3311,065,331
Total assets
776,850696,929837,936771,3531,503,002
Interest bearing loans and liabilities
71,71472,321212,513193,662235,344
Working capital
3
21,91823,842(20,386)4,3244,344
Total liabilities
282,357272,928462,966419,785476,315
Total equity
494,493424,001374,970351,5681,026,687
Cash flow
Net cash from operating activities
119,638101,169157,300178,026213,613
Net cash from/(used in) investing activities
17,897(38,148)(74,627)(69,780)(58,194)
Lease repayments
4
(32,144)(37,503) (36,901) - -
Free cash flow available to shareholders
5
105,39125,51845,772108,246155,419
Capital expenditure
Capital expenditure
44,68345,03256,45876,30058,200
Assets acquired by way of business combination
6
-20316,354 - -
Assets disposed of in the period
6
(34,195)(9,095) - - -
(10,488)36,14072,81276,30058,200
(1) Earnings before income tax, interest expense, depreciation, amortisation and impairment, unrealised gains and losses on currency and interest
rate swaps.
(2) The FY22 year includes depreciation on right-of-use assets of $30.7 million (FY21: $36.2 million).
(3) Working capital excludes current cash and cash equivalents, current borrowing, bonds, derivative financial instruments, available for sale financial
assets, contract liabilities and lease liabilities.
(4) Lease repayments prior to FY20, and the adoption of NZ IFRS 16, were included within net cash from operating activities.
(5) Free cash flow is after lease repayments for the period that are categorised in financing cash flows, but before other financing activities.
(6) RugbyPass and Lightbox acquired in the FY20 were the only substantial acquisitions in the last five years. The Mt Wellington
properties in Auckland were sold on 18 March 2022 (refer note 13). The OSB business was sold in the 2021 financial year.
(7) Prior year restated for Optus Lease and SaaS adjustments (refer note 30).

Financial
Performance Trends

50
Directors’ Responsibility
Statement
The directors of Sky Network Television Limited (Sky) are responsible for ensuring that the consolidated financial statements of
Sky and its subsidiaries (the Group) present fairly the financial position of the Group as at 30 June 2022 and the results of its
operations and cash flows for the year ended on that date.
The directors consider that the consolidated financial statements of the Group have been prepared using appropriate accounting
policies, consistently applied and supported by reasonable judgements and estimates and that all relevant financial reporting and
accounting standards have been followed.
The directors believe that proper accounting records have been kept which enable, with reasonable accuracy, the determination of
the financial position of the Group and facilitate compliance of the consolidated financial statements with the Financial Markets
Conduct Act 2013.
The directors consider they have taken adequate steps to safeguard the assets of the Group and to prevent and detect fraud and
other irregularities.
The directors present the consolidated financial statements of the Group for the year ended 30 June 2022.
The Board of Directors of Sky authorise these consolidated financial statements for issue on 24 August 2022.
For and on behalf of the Board of Directors.
Keith Smith
Director and Chair of Audit and Risk Committee
Philip Bowman
Director and Chair
Date: 24 August 2022

51
Sky / 2022 Annual Report
Contents
Financial Statements
Consolidated income statement .................................................. 52
Consolidated statement of comprehensive income ................ 53
Consolidated balance sheet .......................................................... 54
Consolidated statement of changes in equity .......................... 55
Consolidated statement of cash flows ....................................... 56
Basis of preparation
1. General information .................................................................... 57
2. Basis of consolidation ................................................................. 58
3. Significant accounting policies and changes ......................... 58
Performance
4. Segment and revenue information .......................................... 60
5. Other income ................................................................................ 62
6. Operating expenses .................................................................... 62
7. Earnings per share ....................................................................... 63
8. Taxation ......................................................................................... 64
Working capital
9. Trade and other receivables ...................................................... 66
10. Programme rights inventory ................................................... 68
11. Trade and other payables and contract liabilities .............. 69
Assets
12. Assets held for sale ................................................................... 70
13. Property, plant and equipment .............................................. 71
14. Right-of-use assets ................................................................... 73
15. Intangible assets........................................................................ 74
16. Goodwill ....................................................................................... 75
Funding
17. Borrowings ...................................................................................79
18. Lease liabilities ............................................................................81
19. Finance costs, net .......................................................................83
20. Share capital ...............................................................................84
21. Reserves ........................................................................................85
Financial risk management
22. Derivative financial instruments .............................................86
23. Financial risk management - market risk .............................88
24. Financial risk management - credit risk ................................89
25. Financial risk management - liquidity risk ............................90
26. Classification of financial instruments ..................................93
Other
27. Contingent consideration and provisions ............................94
28. Business acquisitions ................................................................95
29. Related parties ............................................................................96
30. Prior period adjustments ..........................................................97
31. Commitments .............................................................................98
32. Contingent assets and liabilities .............................................99
33. Subsequent events .....................................................................99
Independent auditor’s report ......................................................100

52
For the year ended 30 June 2022
In NZD 000Notes30-Jun-2230-Jun-21
1
Revenue
4736,111 711,234
Other income
516,753 13,520
Expenses
Programming
365,347329,354
Subscriber related costs
93,23393,070
Broadcasting and infrastructure
70,58666,694
Depreciation, amortisation and impairment of assets
6,3080,171106,496
Other costs
54,68255,259
Total expenses
664,019650,873
Impairment of goodwill
162,000 -
Finance costs (net)
19 6,09410,536
Profit before tax
80,75163,345
Income tax expense
8 18,53919,070
Profit for the year
62,21244,275
Attributable to
Equity holders of the Company
762,14543,957
Non-controlling interests
67318
62,212
44,275
Earnings per share
Basic and diluted earnings per share (cents)
735.5725.17
(1) Comparative balances have been restated (refer note 30).
Consolidated
Income Statement

53
Sky / 2022 Annual Report
Consolidated Statement
of Comprehensive Income
For the year ended 30 June 2022
In NZD 00030-Jun-2230-Jun-21
1
Profit for the year
62,21244,275
Items that may be reclassified to profit or loss
Exchange difference on translation of foreign operations
318 (291)
Deferred hedging gains transferred to operating expenses during the year
12,7851,056
Income tax effect
(3,580)(296)
Net other comprehensive income to be reclassified to profit or loss,
net of income tax
9,523469
Items that may not be reclassified to profit or loss
Deferred hedging losses transferred to non-financial assets during the year
(1,535)(367)
Income tax effect
430103
Net other comprehensive loss not being reclassified to profit or loss,
net of income tax
(1,105)(264)
Total comprehensive profit for the year
70,63044,480
Attributable to:
Equity holders of the Company
70,56344,162
Non-controlling interest
67318
70,63044,480
(1) Comparative balances have been restated (refer note 30).

54
As at 30 June 2022
In NZD 000Notes30-Jun-2230-Jun-21
1

Current assets
Cash and cash equivalents
138,91634,800
Trade and other receivables
955,35965,615
Programme rights inventory
10121,407103,154
Derivative financial instruments
2214,3451,347
330,027204,916
Non-current assets
Property, plant and equipment
1371,393100,192
Right-of-use assets
1457,30164,272
Intangible assets
1551,70051,157
Deferred tax asset
8,304,9195,987
Goodwill
16244,264255,245
Derivative financial instruments
224,4641,724
434,041478,577
Assets held for sale
12 12,78213,436
Total assets
776,850696,929
Current liabilities
Interest bearing loans and borrowings
17 1,0351,137
Lease liabilities
18 31,24439,074
Trade and other payables
11151,711137,077
Contract liabilities
11 52,50552,267
Income tax payable
3,3067,850
Derivative financial instruments
22 -1,495
239,801238,900
Non-current liabilities
Interest bearing loans and borrowings
17 -1,035
Lease liabilities
18 39,43531,075
Trade and other payables
11 1,1461,576
Derivative financial instruments
22 -342
40,58134,028
Liabilities associated with assets held for sale
12 1,975 -
Total liabilities
282,357272,928
Equity
Share capital
20 768,766768,766
Reserves
21 9,4531,035
Retained deficit
(284,995)(347,140)
Total equity attributable to equity holders of the Company
493,224422,661
Non-controlling interest
1,2691,340
Total equity
494,493424,001
Total equity and liabilities
776,850696,929
(1) Comparative balances have been restated (refer note 30).
Consolidated
Balance Sheet
For and on behalf of the Board 24 August 2022
Keith Smith
Director and Chair of Audit and Risk Committee
Philip Bowman
Director and Chair

55
Sky / 2022 Annual Report
For the year ended 30 June 2022
Attributable to owners of the parent
In NZD 000Notes
Share
capitalReserves
Retained
deficitTo t a l
Non-
controlling
interest
To t a l
equity
For the year ended 30 June 2022
Balance at 1 July 2021
768,7661,035(347,140)422,6611,340424,001
Net profit for the year
- - 62,14562,1456762,212
Exchange difference on translation of
foreign operations
- 318 - 318 - 318
Cash flow hedges, net of tax
21 - 8,100 - 8,100 - 8,100
Total comprehensive income for the year
- 8,41862,14570,563 67 70,630
Transactions with owners in their
capacity as owners
Dividend paid
- - - - (138)(138)
Balance at 30 June 2022
768,7669,453(284,995)493,2241,269494,493
For the year ended 30 June 2021
Balance at 1 July 2020
767,608991(394,875)373,7241,246374,970
Restatement of adoption of new
accounting standard
3,30 - - 3,7783,778 - 3,778
Balance at 1 July 2020 (restated)
767,608991(391,097)377,5021,246378,748
Net profit for the year
1
30 - - 43,95743,95731844,275
Exchange difference on translation of
foreign operations
- (291) - (291) - (291)
Cash flow hedges, net of tax
21 - 496 - 496 - 496
Total comprehensive income for the year
- 20543,95744,162 318 44,480
Transactions with owners in their
capacity as owners
Dividend paid
- - - - (224)(224)
CEO share based remuneration
29 1,158 (161) - 997 - 997
1,158 (161) - 997(224)773
Balance at 30 June 2021
768,766 1,035 (347,140) 422,661 1,340 424,001
(1) Comparative balances have been restated (refer note 30).
Consolidated Statement
of Changes in Equity

56
For the year ended 30 June 2022
In NZD 000Notes30-Jun-2230-Jun-21
1
Cash flows from operating activities
Profit before tax
3080,75163,345
Adjustments for:
Depreciation and amortisation
6,3080,171 106,496
Impairment of goodwill
162,000 -
Impairment of programme rights
101,152 7,466
Unrealised foreign exchange loss/(gain)
19618(656)
Interest expense
195,772 11,941
Bad debts and movement in provision for loss allowance
61,291 1,454
Other non-cash items
(798) (259)
Movement in working capital items:
Decrease/(increase) in receivables
229 (9,283)
Decrease in payables
(3,759) (39,237)
(Increase)/decrease in programme rights
(19,517)5,052
Cash generated from operations
147,910146,319
Interest paid
(5,547)(11,250)
Bank facility fees paid
(225)(900)
Income tax paid
(22,500)(33,000)
Net cash from operating activities
119,638101,169
Cash flows from investing activities
Acquisition of property, plant, and equipment
13(19,812)(25,657)
Acquisition of intangibles
15,30(24,871)(19,375)
Proceeds from disposal of Mt Wellington properties
1355,580-
Proceeds from disposal of OSB business
287,000 6,884
Net cash from/(used in) investing activities
17,897(38,148)
Cash flows from financing activities
Repayment of borrowings - bonds
17-(100,000)
Repayment of other borrowings
17(1,137)(1,171)
Payments for lease liability principal
18(32,144)(37,503)
Dividend paid to minority shareholders
(138)(224)
Net cash used in financing activities
(33,419)(138,898)
Net increase/(decrease) in cash and cash equivalents
104,116(75,877)
Cash and cash equivalents at beginning of year
34,800 110,677
Cash and cash equivalents at end of year
138,916 34,800
(1) Comparative balances have been restated (refer note 30).
Consolidated Statement
of Cash Flows

57
Sky / 2022 Annual Report
Notes to the Consolidated
Financial Statements
For the year ended 30 June 2022
1. General Information
This section sets out the Group’s accounting policies that relate to the consolidated financial statements as a whole. They have
been presented in a structure which is intended to make them more relevant to shareholders. Where an accounting policy is
specific to one note, the policy is described in the note to which it relates.
Sky Network Television Limited (Sky) is a company incorporated and domiciled in New Zealand. The address of its registered office
is 10 Panorama Road, Mt Wellington, Auckland, New Zealand. The consolidated financial statements for the year ended 30 June
2022 comprise Sky Network Television Limited and its subsidiaries (the Group).
Sky is a company registered under the Companies Act 1993 and is a reporting entity under Part 7 of the Financial Markets Conduct
Act 2013. The consolidated financial statements of the Group have been prepared in accordance with the requirements of the
Financial Markets Conduct Act 2013 and the NZX Listing Rules.
The Group’s primary activity is to operate as a provider of sport and entertainment media services and telecommunications in
New Zealand and overseas.
These consolidated financial statements were authorised for issue by the Board on 24 August 2022.
Basis of preparation
The consolidated financial statements of the Group have been prepared in accordance with Generally Accepted Accounting
Practice in New Zealand (NZ GAAP). The Group is a for-profit entity for the purpose of complying with NZ GAAP. The consolidated
financial statements comply with New Zealand equivalents to International Financial Reporting Standards (NZ IFRS), other New
Zealand accounting standards and authoritative notices that are applicable to entities that apply NZ IFRS. The consolidated
financial statements also comply with International Financial Reporting Standards (IFRS).
These consolidated financial statements are prepared on the basis of historical cost except where otherwise identified.
The consolidated financial statements are presented in New Zealand dollars.
Group structure
The Group has a majority share in the following subsidiaries:
Name of EntityPrincipal Activity
Country of
IncorporationParent Interest held
Jun-22Jun-21
Sky DMX Music LimitedCommercial musicNew ZealandSky
50.50%50.50%
Sky Ventures LimitedNon-tradingNew ZealandSky
100.00%100.00%
Media Finance LimitedNon-tradingNew ZealandSky
100.00%100.00%
Non Trading PS Limited (previously
Outside Broadcasting Limited)
Non-tradingNew ZealandSky
100.00%100.00%
Screen Enterprises Limited Non-tradingNew ZealandSky
100.00%100.00%
Sky Network Services Limited
(previously Igloo Limited)
Broadband servicesNew ZealandSky
100.00%100.00%
Believe It Or Not LimitedEntertainment quizzesNew ZealandSky
51.00%51.00%
Sky Investment Holdings LimitedInvestmentNew ZealandSky
100.00%100.00%
RugbyPass Limited
Content generation,
subscriptions and
marketing
Ireland
Sky Investment
Holdings Limited
100.00%100.00%
RugbyPass Asia Pte Ltd
1
Non-tradingSingaporeRugbyPass Limited
-100.00%
Lightbox New Zealand LimitedStreaming servicesNew ZealandSky
100.00%100.00%
Sports Analytics Pty Limited
(acquired 1 January 2021)
Data analytics for
sports
South Africa
Sky Investment
Holdings Limited
81.00%81.00%
RugbyPass UK Limited
(incorporated 26 Jan 2021)
Management servicesUnited Kingdom
Sky Investment
Holdings Limited
100.00%100.00%
(1) At the request of the Group, RugbyPass Asia Pte Ltd was struck off the Register of Companies on 10 January 2022.

58
2. Basis of Consolidation
The Group financial statements consolidate the financial statements of Sky and its subsidiaries. The acquisition method of
accounting is used to account for the acquisition of subsidiaries and businesses by the Group. The consideration transferred in
a business combination is measured at fair value, which is calculated as the sum of the acquisition date fair value of the assets
transferred and the liabilities incurred. Each identifiable asset and liability is generally measured at its acquisition date fair value
except if another NZ IFRS requires another measurement basis. The excess of the consideration of the acquisition and the amount
of any non-controlling interest in the acquired company, less the Group’s share of the identifiable assets acquired, and the liabilities
assumed, is recognised as goodwill. Acquisition related costs are expensed as incurred.
Subsidiaries
Subsidiaries are entities that are controlled, either directly or indirectly, by the Group. The Group controls an entity when it is
exposed to, or has rights to, variable returns from its involvement with the entity, and has the ability to affect those returns from
its power over the entity. Subsidiaries are fully consolidated from the date on which control is transferred to the Group. They are
deconsolidated from the date on which control ceases.
Intragroup balances and any unrealised gains and losses or income and expenses arising from intragroup transactions, are
eliminated in preparing the consolidated financial statements. Unrealised losses are eliminated in the same way as unrealised gains
unless the transaction provides evidence of an impairment of the asset transferred.
Transactions with non-controlling interests
Transactions with non-controlling interests that do not result in loss of control are accounted for as equity transactions – that is, as
transactions with the owners in their capacity as owners. The difference between the fair value of any consideration paid and the
relevant share acquired of the carrying value of net assets of the subsidiary is recorded in equity. Gains or losses on disposals to non-
controlling interests are also recorded in equity.
3. Significant Accounting Policies
and Critical Judgements and Estimates
Impact of COVID-19
There continues to be uncertainties due to the COVID-19 epidemic that affect the Group’s key estimates and judgements including:
Intangible assets and goodwill – the ability to achieve future forecasts and the consequential impact on the carrying value of
goodwill and other finite life intangibles. Management and the directors have assessed the recoverable amounts for each cash
generating unit for potential impairment at 30 June 2022, and also considered whether there are any events or changes in
circumstances since the signing of the 2021 financial statements and Interim 2022 financial statements that may indicate further
impairment by considering factors such as:
• the Group’s results for the year, which have exceeded the prior year and plan;
• the improvement in the Group’s share price between 30 June 2021 and 30 June 2022; and
• the premium of net assets to market capitalisation has reduced significantly from the position as at 30 June 2021, noting that
this market capitalisation excludes any control premium,
and have concluded that there is a $2.0 million impairment of RugbyPass goodwill at 30 June 2022 (refer note 16).
Programming rights – the ability to monetise prepaid and future sports programming rights. During the ordinary course of
business, the Group continues to negotiate sports rights and equitable reductions from our content partners. On 18 February 2022
the Group announced it had entered into a contract with the English Premier League for six years, starting with the upcoming
2022/23 season. Management continues to exercise judgement in assessing both the value and estimated future amortisation
profile of programming rights costs in response to uncertainty that COVID-19 has created around the value of certain major sports
competitions, some of which may be delayed or postponed. During the year, the Group received credit notes for cancelled events
during the Auckland lockdown totalling $7.8 million. Management further considered the valuation of the programming rights
arising from the share issue to the NZ Rugby Union and assessed the carrying value as appropriate as the future economic benefit
is still expected to be realised.
Capital Structure – As at 30 June 2022 the Group had working capital of $90.4 million compared to negative working capital of
$28.8 million at 30 June 2021. The $100 million bond was repaid on 31 March 2021 out of the Group’s cash reserves (refer note 17).
Despite the continuing impact of COVID-19 the directors are satisfied that there will be adequate cash flows generated from
operating and financing activities to meet the obligations of the Group for a period of at least 12 months from approving the
consolidated financial statements after taking into consideration the current trading results, the cash available of $139 million and
the undrawn banking facility of $150 million as at 30 June 2022 (refer note 17).
Accounting policies
The accounting policies applied by the Group in these consolidated financial statements are the same as those applied by the
Group in its consolidated financial statements as at and for the year ended 30 June 2021 apart from the Group adopting
the interpretation to reflect the April 2021 IFRS Interpretations Committee (IFRIC) agenda decision on Configuration and
Customisation costs in a Cloud Computing Arrangement. The Group has not early adopted any standard, interpretation or
amendment that has been issued but is not yet effective.

59
Sky / 2022 Annual Report
Significant Accounting Policies and
Critical Judgements and Estimates (Continued)
Foreign currency translation
Functional and presentation currency: The Group’s consolidated financial statements are presented in New Zealand dollars (NZD
or $) which is the Group’s functional and presentation currency.
Transactions and balances: Monetary assets and liabilities denominated in foreign currencies are translated into the functional
currency at the exchange rate at the reporting date. Non-monetary assets and liabilities that are measured at fair value in a
foreign currency are translated into the functional currency at the exchange rate when the fair value was determined. Non-
monetary items that are measured based on historical cost in a foreign currency are translated at the exchange rate at the date
of the transaction. Foreign currency differences are generally recognised in profit or loss and presented within finance costs, except
when deferred in other comprehensive income as qualifying cash flow hedges.
Foreign operations: The income statements of foreign operations are translated into the Group’s reporting currency at average
exchange rates for the period and the assets and liabilities of foreign operations are translated into NZD at the exchange rates
prevailing at the reporting date. The income and expenses of foreign operations are translated into NZD at the exchange rates at
the dates of the transactions.
Foreign exchange differences are recognised in other comprehensive income and accumulated in the translation reserve.
Comparatives
Certain comparative amounts have been reclassified to better reflect consistency with the current period.
The Group has adjusted the prior period in respect of configuration and customisation costs incurred in implementing Software as
a Service (SaaS) arrangements. The Group has also adjusted an overstatement of the lease liability as at the date of adoption of
NZ IFRS 16 Leases to reflect the contractual payment terms. The impact of these changes on the Group financial statements is
summarised in note 30.
Goods and services tax (GST)
The consolidated statement of comprehensive income and consolidated statement of cash flows have been prepared so that all
components are stated exclusive of GST. All items in the consolidated balance sheet are stated net of GST with the exception of
receivables and payables, which include GST invoiced.
New Accounting interpretations applicable to the Group
IFRIC - Configuration and Customisation in a Cloud Computing Arrangement
In April 2021 the IFRS Interpretations Committee (IFRIC) issued an agenda decision on Configuration and Customisation costs
in a Cloud Computing Arrangement. The Group has completed a review of relevant cloud computing arrangements and has
implemented the interpretation to reflect the new guidance published by IFRIC.
The interpretation requires that configuration and customisation costs are expensed as incurred unless the activities either provide
Sky with control of an intangible asset, or, if undertaken by the Software as a Service (SaaS) vendor, comprise a service that is not
distinct from the provision of the SaaS arrangement. The change has been retrospectively applied as detailed in note 30.
Note 15 describes the entity’s interpretation in respect of configuration and customisation costs incurred in implementing Software
as a Service arrangements. In applying the entity’s accounting policy, the Group made the following key judgements that may have
the most significant effect on the amounts recognised in financial statements:
Capitalising configuration and customisation costs in SaaS arrangements
Configuration and customisation activities undertaken in implementing SaaS arrangements may entail the development of
software code that enhances, modifies, or creates additional capability to the existing on-premise software to enable it to connect
with the cloud-based software applications (referred to as integrations). Judgement was applied in determining whether the
additional code meets the definition of and recognition criteria for an intangible asset in NZ IAS 38 Intangible Assets. The Group
has recognised $16 million in FY21 and $12.3 million in FY22 of configuration and customisation costs as intangible assets.
Determining whether configuration and customisation services are distinct from the SaaS
Where the SaaS vendor provides both implementation services and the SaaS arrangement, the Group have applied judgement
to determine whether these services are distinct from each other or not, and therefore, whether the implementation services are
expensed as the software is configured or customised (i.e. upfront), or over the SaaS contract term. Where the configuration and
customisation activities significantly modify or customise the cloud software, these activities will not be distinct from the access to
the cloud software over the contract term. Judgement has been applied in determining whether the degree of customisation and
modification of the cloud based software would be deemed significant. The Group has recognised $0.8 million in FY21 and $nil in
FY22 as prepayments in respect of implementation services performed by SaaS vendors.
Environmental, Social and Governance (ESG) reporting
The Group as part of its enterprise risk management framework continues to monitor its exposure to risk, including climate related
risk and related regulatory reporting requirements. Sky intends to specifically review and report on exposure to climate related
risk, and potential opportunities in line with legislative requirements currently under development and likely to reflect the Financial
Stability Board’s Task Force on Climate-related Financial Disclosures (TCFD) requirements. Emissions measurement systems are in
place, and these will continue to be further refined with a view to initiating reporting in the 2023 financial year.
We do not at this stage consider there to be any significant financial impact for the Group from climate change but will continue to
monitor as our strategic framework, systems and processes evolve and as regulatory frameworks are finalised and introduced.

60
4. Segment and Revenue Information
In NZD 00030-Jun-2230-Jun-21
Sky Box subscriptions
514,029532,122
Broadband subscriptions
8,78271
Streaming subscriptions
93,26673,267
Commercial revenue
47,37943,679
Advertising
47,59244,866
Other revenue
25,06317,229
736,111711,234
Description of revenue streams
With its operating business segment Sky has several revenue streams which it reports against. These include:
Sky Box revenue: This includes revenue from Sky’s subscription services linked to its Sky Box customers. Customers are invoiced
on a monthly basis in advance and contracts are normally for a period of 12 months with monthly renewals thereafter. Early
termination fees apply. Revenue is recognised over the period to which the subscription relates.
Unearned subscriptions and deferred revenues are revenues that have been invoiced relating to services not yet performed and are
reported as contract liabilities (refer note 11).
Broadband revenue: This includes revenue from Sky’s Broadband service which is provided primarily to Sky Box customers.
Customers are invoiced in advance on a monthly basis either on a twelve month or rolling monthly contract. Early termination fees
apply to 12 month contracted customers only. Revenue is allocated across the performance obligations on a relative standalone-
selling price basis, using market-based approaches as follows:
• the provision of broadband connectivity – recognised on a straight-line basis over the contract term (i.e. as billed monthly);
• the provision of a voucher for Disney+ – recognised at a point in time when the voucher is issued.
• voice services – recognised either on a straight-line basis over the term (for bundles) or as incurred (additional calls), consistent
with billing.
• costs incremental to obtaining a contract are expensed as incurred.
Streaming revenue:: This includes content sold to third parties for retransmission and revenue from streaming services such as
Neon, Sky Sport Now and RugbyPass. This revenue is recognised over time based on the timing of the services provided. Contracts
vary in length, including daily, weekly, monthly and are payable in advance. In the prior year retransmission revenue was billed in
arrears, which continued until 1 March 2022, when invoicing in advance commenced.
Contracts with wholesale customers, where some of the Group’s services including Neon and Sky Sport Now, are combined with
the wholesale customer products and sold as part of a bundled service have differing provisions such that the Group has been
determined to be either the principal or the agent depending on the wholesale contract terms. Customers are invoiced in advance
on a monthly basis and contracts are normally for a period of 12 months with monthly renewals thereafter.
Commercial revenue: This includes commercial revenue earned from Sky subscriptions at businesses throughout New Zealand.
Customers are invoiced in advance on a monthly basis and contracts are normally for a period of 12 months with monthly
renewals thereafter.
Advertising revenue: This relates to revenue received from customers in return for advertising placed on the Group’s services. This
revenue is recognised when the advertisement is screened. Contract terms and rates vary depending on the customer and services
provided. Customers are billed monthly in arrears. Revenue is earned at a point in time.
Other revenue: This includes revenue from installation services, transmission services, and various other non-subscriber related
revenue. This revenue is recorded when the product or service has been delivered to the customer at a point in time or when the
performance obligation is received by the customer.
Revenue from the lease of Broadband equipment to the customer is recognised on a straight-line basis over the contract term,
consistent with monthly billing.

61
Sky / 2022 Annual Report
Key estimates and judgements
Gross versus net presentation If the Group has control of goods or services when they are delivered to a customer, then the
Group is the principal in the sale to the customer, otherwise the Group is acting as an agent. Whether the Group is considered
to be the principal or an agent in the transaction depends on analysis by management of both the legal form and substance
of the agreement between the Group and its business partners. This assessment includes the determination of control over
pricing and products and these judgements may have an effect on the reported revenue and operating cash flows.
Operating segments are reported in a manner consistent with the internal reporting provided to Sky’s executive team who are
the chief operating decision-makers. Sky’s executive team is responsible for allocating resources and assessing performance of
the operating segments. Sky operates in a single operating segment comprising the provision of sport, entertainment media and
telecommunication services in New Zealand. RugbyPass has been identified as a separate operating segment and is a separate
cash generating unit for the year ended 30 June 2022. For financial reporting purposes and with reference to the aggregation
criteria in the accounting standards RugbyPass is aggregated with the Sky business operating segment for the purposes of
reporting segment disclosure.
The table below shows the disaggregation of the Group’s revenue from contracts with customers on the basis of when revenue is
recognised for its principal revenue streams as described below.
In NZD 000
Sky Box
subscriptions
Broadband

subscriptions
Streaming

subscriptions
Commercial
revenueAdvertisingOther revenue
Total revenue
from contracts
with customers
For the year ended 30 June 2022
Revenue from customers
514,0298,78293,26647,37947,59225,063736,111
Total revenue
514,0298,78293,26647,37947,59225,063736,111
Timing of revenue recognition
At a point in time
5,195 366 --47,5927,46760,620
Over time
508,8348,41693,26647,379 - 17,596675,491
514,0298,78293,26647,37947,59225,063736,111
For the year ended 30 June 2021
Revenue from customers
532,1227173,26743,67944,86628,874722,879
Inter-segment revenue
- - -- - (11,645)(11,645)
Total revenue
532,1227173,26743,67944,86617,229711,234
Timing of revenue recognition
At a point in time
5,291 - --44,8667,64457,801
Over time
526,8317173,26743,679 - 9,585653,433
532,1227173,26743,67944,86617,229711,234
Inter-segment revenue relates to intergroup services relating to sports productions provided by OSB until 31 March 2021, when
OSB was sold to NEP Limited (refer note 28).
Segment and Revenue Information (Continued)

62
5. Other Income
Other income includes:

In NZD 000Notes30-Jun-2230-Jun-21
Government grant R&D tax credit
1,9721,752
Gain on sale of OSB
28-5,787
RugbyPass content provision release
27-1,476
RugbyPass earnout release
27-3,553
Gain on sale of Mt Wellington properties
1
1313,981-
Other income
800952
16,75313,520
(1) Includes $6.1 million gain on sale relating to the sale and leaseback of the groups land and buildings located at 10 Panorama Road,
Mt Wellington and a $7.8 million gain on sale of land and buildings located at 16 and 34 Leonard Road, Mt Wellington.
Other income: Income not related to revenue from contracts with customers is required to be disclosed separately in the
financial statements and includes investment income, gains or losses on disposal of assets, lessor revenue and other income
not related to customer contracts.
6. Operating Expenses
Profit before tax includes the following separate expenses:
In NZD 000Notes30-Jun-2230-Jun-21
Depreciation, amortisation and impairment
Depreciation and impairment of property, plant and equipment
1

1327,27636,355
Amortisation of intangibles
2
1522,18133,901
Depreciation and impairment of right-of-use assets
1430,71436,240
Impairment of goodwill
162,000-
Total depreciation, amortisation and impairment
82,171106,496
Credit loss
Movement in provision
316374
Net write-off
9751,080
Total credit loss
91,2911,454
Fees paid to external auditors
Audit fees paid to principal auditors
3
661 589
Regulatory reporting
18 9
Non-assurance services by principal auditors
Treasury related financial markets risk analysis and commentary
- 9
Total fees to external auditors
679607
Employee costs
4
75,29482,416
Kiwisaver employer contributions
2,2802,134
Donations
84187
Operating lease and rental expenses
941922
(1) The majority of depreciation and amortisation relates to broadcasting assets (refer note 13).
(2) Comparative balance has been restated (refer note 30).
(3) The audit fee includes the fee for both the annual audit of the financial statements and the review of the interim financial statements.
(4) The decrease in employee costs in 2022 is primarily due to the release of the Holidays Act 2003 compliance provision of $2.7 million, lower
employee head count and termination benefits of $1.8 million paid to the former CEO in the prior period.

63
Sky / 2022 Annual Report
Employee entitlements to salaries, wages and annual leave, to be settled within 12 months of the reporting date represent
present obligations resulting from employee services provided up to the reporting date, calculated at undiscounted amounts
based on remuneration rates that the Group expects to pay.
Incentive plans are recognised as a liability and an expense for discretionary short-term incentives (STIs) based on a formula
that takes into account the economic value added by employees during the reporting period. The Group recognises this
provision where contractually obliged or where there is a past practice that has created a constructive obligation.
7. Earnings Per Share
30-Jun-2230-Jun-21
1
Profit after tax attributable to equity holders of the parent (NZD 000)
2
62,14543,957
Weighted average number of ordinary shares on issue (thousands)
174,688174,648
Basic and diluted earnings per share (cents)
35.5725.17
Issued ordinary shares at the beginning of the year
174,688,323174,628,323
Ordinary shares issued on 1 March 2021
-60,000
Total number of shares on issue
174,688,323174,688,323
Weighted average number of ordinary shares on issue
174,688,323 174,648,378
(1) Prior year balances have been restated to reflect the share consolidation on 17 September 2021 (refer note 20).
(2) Comparative balance has been restated (refer note 30).
Basic earnings or loss per share
Basic earnings or loss per share is calculated by dividing the profit attributable to equity holders of Sky by the weighted average
number of ordinary shares on issue during the year.
Diluted earnings per share
Diluted earnings or loss per share is calculated by adjusting the weighted average of ordinary shares outstanding to assume
conversion of all dilutive potential ordinary shares. Sky had no dilutive potential ordinary shares during the current or prior period.
Operating Expenses (Continued)

64
8. Taxation
Income tax expense
The total charge for the year can be reconciled to the accounting profit as follows:
In NZD 00030-Jun-2230-Jun-21
1
Profit before tax
80,75163,345
Prima facie tax expense at 28%
22,61017,737
Non-assessible income
(6,652)(1,268)
Non-deductible expenses
1,984710
Prior year adjustment
(644)371
Adjustment for change to building depreciation
-153
Tax loss not recognised
614611
Effect of foreign tax rates
627756
Income tax expense
18,53919,070
Allocated between:
Current tax payable
20,12425,143
Deferred tax
(1,585)(6,073)
Income tax expense
18,539 19,070
(1) Comparative balance has been restated (refer note 30).
Current income tax expense
Income tax expense represents the sum of the tax currently payable and deferred tax, except to the extent that it relates
to items recognised directly in other comprehensive income, in which case the tax expense is also recognised in other
comprehensive income. The tax currently payable is based on taxable profit for the year. Taxable profit differs from profit as
reported in profit or loss because it excludes items of income or expense that are taxable or deductible in other years and it
further excludes items that are never taxable or deductible. The Group’s liability for current tax is calculated using the rates
that have been enacted or substantively enacted by the balance date.
Imputation credits
In NZD 00030-Jun-2230-Jun-21
Imputation credits available for subsequent reporting periods based on a tax rate of 28%
189,788 161,341
The above amounts represent the balance of the imputation credit account as at the end of the reporting period adjusted for:
• Imputation credits that will arise from the payment of the amount of the provision for income tax;
• Imputation debits that will arise from the payment of dividends. Availability of these credits is subject to continuity of ownership
requirements.

65
Sky / 2022 Annual Report
Deferred tax assets and (liabilities)
The following are the major deferred tax liabilities and assets and the movements thereon during the current and prior reporting periods.
In NZD 000Notes
Fixed
assets
Leased
assetsOther
Recognised
directly
in equityTo t a l
For the year ended 30 June 2022
At 1 July 2021
2,575(1,669)5,629(548)5,987
Disposal of Mt Wellington properties
377 - - -377
NZ IFRS 9 hedging adjustment recognised through
other comprehensive income
- - - (3,150)(3,150)
Prior period adjustments recognised through equity
- - - 120120
Credited/(charged) to profit and loss
(2,231)5,408(1,592) - 1,585
Balance at 30 June 2022
7213,7394,037(3,578)4,919
For the year ended 30 June 2021
At 1 July 2020
(1,899)(6,878)9,348(355)216
Disposal of subsidiaries
28 - 66 - -66
NZ IFRS 9 hedging adjustment recognised through
other comprehensive income
21 - - - (193)(193)
Prior period adjustments recognised
through equity
1
1,273(1,448) - -(175)
Credited/(charged) to profit and loss
3,2016,591(3,719) - 6,073
Balance at 30 June 2021
2,575(1,669)5,629(548)5,987
(1) Comparative balance has been restated (refer note 30).
Certain deferred tax assets and liabilities have been offset as allowed under NZ IAS 12 where there is a legally enforceable right
to set off current tax assets against current tax liabilities and where the deferred tax assets and liabilities are levied by the same
taxation authority.
Deferred income tax is provided in full, using the liability method, on temporary differences arising between the tax bases
of assets and liabilities and their carrying amounts in the consolidated financial statements. Deferred income tax is not
accounted for if it arises from initial recognition of an asset or liability in a transaction, other than a business combination,
that at the time of the transaction neither affects accounting nor taxable profit or loss. Deferred income tax is determined
using tax rates that have been enacted or substantively enacted by the balance date and are expected to apply when the
related deferred income tax asset is realised or the deferred income tax liability is settled. Deferred income tax assets are
recognised to the extent that it is probable that future taxable profit will be available against which the temporary differences
can be utilised.
Key estimates and judgements
Deferred tax assets are recognised for unused tax losses and other deductible temporary differences to the extent that it is
probable that taxable profit will be available against which the losses and other deductible temporary differences can be utilised.
Significant management judgement is required to determine the amount of deferred tax assets that can be recognised based
upon the likely timing and level of future taxable profits. No deferred tax asset has been recognised in relation to the Rugby Pass
accumulated losses of $23,724,000 (30 June 2021: $19,412,000) and Sky Network Services Limited’s (previously Igloo Limited)
accumulated losses of $11,850,000 (30 June 2021: $12,150,000). These tax losses can be carried forward for use against future
taxable profits of both entities subject to meeting the requirements of the income tax legislation in the local tax jurisdiction
including shareholder continuity.
Taxation (Continued)

66
9. Trade and Other Receivables
In NZD 000Note30-Jun-2230-Jun-21
Trade receivables
35,416 37,694
Less provision for loss allowance
(1,588)(1,272)
Trade receivables - net
33,828 36,422
Other receivables
11,966 8,847
Owing by NEP
28- 7,000
Prepaid expenses
9,565 13,346
Balance at end of year
55,359 65,615
Deduct receivables not classified as financial assets
1
(11,945)(13,601)
Financial instruments
2643,41452,014
(1) Receivables not classified as financial instruments include prepaid expenses, tax receivable and facility fees.
Impairment of trade receivables
The Group applies the NZ IFRS 9 simplified approach to measuring expected credit losses which uses a lifetime expected loss
allowance for all trade receivables.
To measure the expected credit losses, trade receivables have been grouped based on the shared credit risk characteristics
and the days past due. The expected loss rates are based on the payment profiles of revenue over the prior 24 months and the
corresponding historical credit losses experienced within this period.
The impairment of trade receivables as at 30 June 2022 is as follows:
30-Jun-2230-Jun-21
In NZD 000
Gross ImpairmentGross Impairment
Residential subscribers
22,408(1,072)24,326(1,099)
Commercial subscribers
4,783(176)4,759(32)
Wholesale customers
1,345 - 1,004 -
Advertising
4,731(7)4,680(60)
Other
2,149(333)2,925(81)
35,416(1,588)37,694(1,272)

67
Sky / 2022 Annual Report
As at 30 June, the ageing analysis of trade receivables is as follows:

30-Jun-2230-Jun-21
In NZD 000
Expected
loss rate
Gross
carrying
amount
Loss
allowanceIn NZD 000
Expected
loss rate
Gross
carrying
amount
Loss
allowance
Not past due
0.2% 28,999 72
Not past due
0.2% 31,483 75
Past due 0-30 days
3.1%3,397107
Past due 0-30 days
2.3%3,83287
Past due 31-60 days
7.5%1,30297
Past due 31-60 days
7.3%1,07579
Past due 61-90 days
42.0%638268
Past due 61-90 days
55.8%557311
Greater than 90 days
96.7%1,0801,044
Greater than 90 days
96.4%747720
35,4161,58837,6941,272
Movements in the provision for impairment of receivables were as follows:
In NZD 000Note30-Jun-2230-Jun-21
Opening balance
1,272 898
Charged during the year
6 1,291 1,454
Utilised during the year
(975)(1,080)
Closing balance
1,588 1,272
The provision charged and the amount utilised for impaired receivables has been included in subscriber related costs in profit or
loss. Amounts charged to the allowance account are generally written off when there is no expectation of receiving additional cash,
usually ninety days after a customer has been disconnected. The maximum exposure to credit risk at the reporting date is the fair
value of each class of receivable. The Group holds collateral of $1.1 million (30 June 2021: $1.2 million) in the form of deposits for
Sky Box customers.
Trade and other receivables are recognised initially at fair value and subsequently measured at amortised cost using the
effective interest method, less provision for impairment. Collectability of trade receivables is reviewed on an on-going basis.
Debts which are known to be uncollectible are written off. An impairment loss is recognised based on expected credit losses for
each trade receivable group.
Trade and Other Receivables (Continued)

68
10. Programme Rights Inventory
In NZD 000Note30-Jun-2230-Jun-21
Opening balance
103,154115,672
Acquired during the year
329,888 266,348
Written off during the year
(1,152)(7,466)
Charged to programming expenses
(310,483)(271,400)
Balance at end of year
121,407103,154
Programme rights inventories for broadcast are stated at the lower of cost and net realisable value, and net of the
accumulated expense charged to the income statement to date. Such programming rights are included as inventories when
the legally enforceable licence period commences, and all of the following conditions have been met: (a) the cost of each
programme is known or reasonably determinable; (b) the programme material has been accepted by the Group in accordance
with the conditions of the rights; and (c) the programme is available for its first showing.
Prior to being included in inventories, the programming rights are classified as television programme rights not yet available
for transmission and not recorded as inventories on the Group’s balance sheet and are instead disclosed as contractual
commitments (refer note 31).
The cost of television programme inventories is recognised as programming rights in the income statement, over the period
the Group utilises and consumes the programming rights, applying linear-broadcast and time-based methods of amortisation
depending on the type of programme right, taking into account the circumstances primarily as described below.
These circumstances may change or evolve over time and, as such, the Group regularly reviews and updates the method used
to recognise programming expense.
• Sports – the majority or all of the cost is recognised in the income statement on the first broadcast or, where the rights are
for multiple seasons or competitions, such rights are recognised principally on a straight-line basis across the contracted
broadcast period or season.
• Movies and linear entertainment channels – the cost is recognised in the income statement on an “as played” basis over the
period for which the broadcast rights are licensed.
• Pass through channels – the cost is amortised in the month of activity.
• Entertainment streaming content is amortised on a straight-line basis over the licence period.
The Group regularly reviews its programming rights for impairment. Where programme broadcast rights are surplus to the
Group’s requirements, and no gain is anticipated through a disposal of the rights, or where the programming will not be
broadcast for any other reason, a write-down to the income statement is made. Any reversals of inventory write-downs are
recognised as reductions in operating expense.