The amount of time subscribers spent watching Sky channels had continued to increase with most of the increase in viewing occurring on Sky's basic channels, the company said.
An interim dividend of 5 cents per share is to be paid.
That lagged behind the NZ$41 million median estimate of seven analysts surveyed by Bloomberg News.
The profit matched Sky's own targets, Chief Executive Officer John Fellet said in an interview from Auckland.
in Auckland, which has the equivalent of $170 million of stocks, including Sky TV.
``Their guidance is lower than everybody was forecasting.'' In the first half, net income rose to NZ$36.5 million, or 9.4 cents a share, from NZ$29.7 million, or 7.6 cents, a year earlier, the company said today.
27 estimate of NZ$80 million to NZ$90 million, Sky said in a statement today. First-half earnings, released today, lagged behind analysts' expectations. Sky bought free-to-air channel Prime in February 2006 to compete with Can West Media Works (NZ) Ltd.
and state-owned Television New Zealand, giving it a platform to carry more sport and attract advertising.
Subscriber growth had continued to improve in 2007, with the subscriber count reaching a new high of 690,994 yesterday, Sky said.
Half year operating costs increased by 13.6 per cent to 3.8m, with programming costs up .6m.
Today the company has revised its expected profit to be between million and million.