Brendon Cook has agreed to remain at oOh!media (ASX:OML) as CEO until the end of the year following the unprecedented uncertainty caused by COVID-19.
In January, Cook announced his intention to step down as managing director and CEO and from the board in 2020. Cook previously said he will remain in the role and on the board until a global executive search is completed and will then work with the board to “ensure an orderly and seamless transition” to the new CEO.
However, following the COVID-19 pandemic, the company’s board determined that in the interests of stability through a challenging period, it would be the best option for him to remain in the role at least until the end of the year.
“We are grateful that Brendon has agreed to this, and he continues to be as energised and passionate about the business as he has consistently over the past 30 years,” oOh!media chair Tony Faure said.
“Brendon founded oOh! in 1989 and he has been an innovator and passionate industry leader for the past 30 years.
“Thankfully, Brendon has also agreed to remain in a non-executive consulting role once a new CEO appointment has been made, which means oOh! will continue to benefit from his unparalled knowledge and insights of the industry.”
Faure added that the company is continuing the search for a successor to Cook and will have an update once that process has been completed.
“Given the uncertainty around COVID-19, I will remain in the rile until at least the end of 2020 and until a new CEO is appointed,” Cook said.
“I will continue to act in a non-executive consulting role to then provide ongoing strategic advice to the business. It has been my privilege to lead this great company.”
Cook also provided a financial update, saying that the company saw steady revenues for the first quarter of 2020 in comparison to the prior corresponding quarter. However, he mentioned that as the COVID-19 restrictions started to be implemented from the middle of March, there was a significant decline in revenue.
“Out of Home has been impacted more proportionally than other forms of media, given the audience decline as a direct result of the movement restrictions in relation to COVID-19,” he said.
“Of our original bookings in April/May that advertisers will no longer run campaigns in Q2, around 85 per cent have been deferred to the second half of the year.
“We continue to be prudent on all cost and planning related to economic conditions created by COVID-19.”
However, Cook remains optimistic for Q3 and Q4. He said that while activity in Q2 remained challenging, the company has planned for increased activity as COVID-19 restrictions are eased in Q3 and Q4.
“We are seeing an upward trend in audiences in line with restrictions easing and therefore we are confident we will be able to compete strongly as audiences return to Out of Home environments in the successful manner we have over the last six years for a larger share of the total media pie,” he said.
“Longer term, we remain convinced of the ability for Out of Home to grow its share of overall media spend.”
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