Seven West Media will buy back up to 10 per cent of its shares, after announcing a boost in revenue to $1.5 billion for the 2021/22 financial year.
The result was 21 per cent higher than 20/21, but statutory after-tax profits fell to $211 million - 34 per cent less than the previous year.
"We're in the strongest financial position we've been in for over a decade, and we're well placed to continue that growth and build on our leadership position," managing director and chief executive James Warburton told investors on Tuesday.
The buyback will be conducted over the next 12 months based on the company's share price, and will be funded through existing loans.
The move was prompted by significant improvements to Seven West's balance sheet over the past two years and should improve earnings per share, Mr Warburton said.
Seven West Media acquired regional broadcaster Prime Media Group in a deal worth about $130 million in 2021 and has also seen recent growth in on-demand service 7plus.
Seven's Tokyo Olympics coverage reached 20.2 million viewers in Australia, while The Ashes cricket along with reality shows The Voice, SAS Australia, and Big Brother saw Seven regain its place as the most-watched network in the capital cities and nationally.
Audience levels remained high during the first part of the current financial year off the back of Commonwealth Games coverage and led to strong advertising figures, Mr Warburton said.
"The numbers were extremely impressive and obviously we took a very large slice of the market through July and August," he said.
Mr Warbuton said concerns about inflation affecting the advertising market had been shown to be overblown so far, with tourism and travel returning and gambling remaining strong.
The company's video-on-demand services are well-placed to compete with new digital competitors in a Youtube-dominated market worth $2.5 billion, he said.
Digital offerings including 7plus accounted for more than 40 per cent of earnings in 21/22 compared to just two per cent four years previously.
