ARN's axed Kyle and Jackie O show cost $26M in ad revenue and a 90% pay strike

ARN Media's axing of the Kyle and Jackie O show earlier in 2026 — the end of contracts worth a combined $200 million over 10 years for Kyle Sandilands and Jackie Henderson — cost the radio network $26 million in lost advertising revenue, the company told investors, due to 'brand safety' concerns. Henderson had left the show after an on-air argument with Sandilands; both former co-hosts launched separate lawsuits claiming they were wrongfully terminated, and the court case over the $200 million agreements was still running.

The damage compounded at ARN's annual general meeting on May 7, 2026: 90 percent of shareholders voted against the remuneration report — a first 'strike' that put chief executive Michael Stephenson's $1.1 million annual salary under review, with two consecutive strikes able to trigger a board spill. The backdrop was grim: FY2025 revenue of $285 million was down 10 percent ($32 million) year on year, the share price had plunged about 52 per cent in twelve months to around 26 cents, and market capitalization sat near $81 million.

Chair Hamish McLennan declined to discuss the presenters because of the court case — while confirming he had signed a document of support for them during their initial contract negotiations. Pressed by one investor to reflect on his 'three mistakes' as chair, he called the question 'loaded', conceded the board was unhappy with the company's finances, and survived the vote on his position. He then pledged to invest $500,000 of his own money to show commitment; one board member said he would consider doing the same. An investor's demand for an apology over recent performance was not delivered.

The axing left advertisers spooked: brand-safety concerns, ARN said, cost the network $26 million in advertising revenue.

Both stars sued for wrongful termination over the axed $200 million combined contracts, keeping the dispute in court through the AGM.

90 percent of shareholders voted against the remuneration report — a first strike placing the CEO's $1.1 million pay under review.

The broader numbers crumbled alongside the show: FY25 revenue down $32 million (10 per cent) and the share price down roughly 52 per cent in a year.

The chair's own handling drew fire at the AGM, including questions about his 'three mistakes' and his documented support for the presenters during contract talks.

Cutting a star franchise mid-scandal doubles the bill: ARN lost the show's audience, then the advertisers, then its shareholders' patience.

The wrongful-termination litigation over the $200 million contracts continued. McLennan retained the chairmanship after a shareholder vote, backed by a promised $500,000 personal investment; a second strike — and a possible board spill — remained one remuneration vote away, with the CEO's pay under review and no apology offered to investors.