Corus CEO John Cassaday to step down in March

Share

Corus Entertainment Inc. president and chief executive John Cassaday is retiring from the company next spring after 15 years at the helm, to be succeeded by current chief operating officer Doug Murphy.

Mr. Cassaday's departure on March 30 will mark his 25th anniversary in broadcasting, but not the end of his career. "I still have a lot of energy and enthusiasm," the 61-year-old executive said in an interview, pledging to look for new challenges to occupy him for the next "five to seven years."

Corus, which owns a stable of television channels including Treehouse and YTV as well as 39 radio stations, has been planning his succession for "quite some time," he said. Mr. Murphy, a 12-year-veteran of the company who formerly worked at Walt Disney Co., promised it will be "very much business as usual" when he assumes the CEO's role. Corus will continue to focus on adding to its content and growing organically, he said.

"It's been a great run for me," said Mr. Cassaday, one of the industry's longest-serving chief executives.

Corus will report its first-quarter earnings on Tuesday. The company faces challenges from a weak advertising market and a shift in video viewing habits thanks to the proliferation of online streaming services.

Acknowledging the "headwinds" buffeting broadcasting's business model, Mr. Cassaday called sagging growth in ad revenue "more cyclical than secular" and predicted that, "when the ad economy recovers, I think this company is really poised to take off again."

Corus also faces regulatory uncertainty as Canada's television industry awaits the results of Let's Talk TV, a sweeping hearing into the future of television convened last fall at the Canadian Radio-television and Telecommunications Commission (CRTC). Mr. Cassaday said it is too early to predict the outcome, but said he believes the TV ecosystem needs "some minor tweaking, not major change."

Before he was named COO in 2013, Mr. Murphy held a range of roles at Corus, including president of Corus Television, and also oversaw the radio division.

"John and Doug have worked closely together for over 10 years and we're confident that Doug will continue Corus Entertainment's legacy of growth and success," said Heather Shaw, the company's executive chair, in a written statement.

In the year ending Aug. 31, 2014, Corus reported revenue of $833-million, up from $751.5-million in the prior year, though earnings fell year-over-year to $150.4-million, or $1.77 a share.