The net loss includes a $360 million impairment charge (the writing off of worthless goodwill).
Subscriber numbers for the year came to 767,727 - that's down from 824,782 in the previous year and 11,049 fewer than in December.
Sky's underlying net profit of $119.3 million - before the goodwill impairment - is an increase of 2.6% on the previous year.
Chief executive John Fellet said the underlying result was "pleasing".
"We have managed to increase underlying profits and control costs while implementing a transformational strategy that ensures we keep delivering our great content to New Zealanders in ways that they want," Fellet said.
Sky was building a strong suite of online products to meet the needs of all New Zealanders, both now and in the future, while continuing to deliver to its core customer base, particularly those who don't yet have access to fast internet, he said.
"It's a careful balance, but strategically important."
The Sky board had agreed to reduce the carrying value of Sky's goodwill asset from $1.43 billion to $1.07 billion.
The impairment is a non-cash charge that has no impact on Sky's 2018 cash flows or banking covenants.
Sky said it had taken $47 million of costs out of the business over the year.
In December Sky reported the loss of 46,006 customers for the first six months of the financial year, and said today that "churn" improved with a loss of only 11,049 in the second half.
While it is too early to assess the full impact, the pricing and packaging changes in March 2018 have contributed to this improvement in churn, it said.
Fellet said that 768,000 customers still chose to pay for Sky's services.
"By global standards, 40 percent market penetration for a Pay TV service is significant," he said.
"Over the next few years we anticipate that more customers will transition from our satellite service to our online products, and our goal is to continue to serve them in ways that best meet their needs and budgets," he said.
The goodwill writedown arose from the merger of Independent Newspapers and SKY in 2005, and reflected the difference between the fair value of SKY's assets at the time and the price that INL shareholders agreed to exchange their shares in INL for SKY shares.
The Sky board is required to assess the fair value of intangible assets at each reporting period.
Fellet is due to step down from the chief executive role later this year after 27 years. A replacement is yet to be announced.
Last year, Sky attempted to merge with Vodafone New Zealand but the deal was rejected by the Commerce Commission.
