Aug132015

KUALA LUMPUR, 13 August 2015 – Media Prima Berhad (“Media Prima” or “the Group”), Malaysia’s leading fully-integrated media investment company announced its financial results for the first six months of the financial year ending 31 December 2015.

The group recorded Year to Date 30 June 2015 revenue of RM695.2million and Profit After Tax (PAT) of RM61.7million achieving a PAT margin of nine percent. This is a reduction of 6% and 4% respectively in revenue and PAT against corresponding period of 2014.

In comparison with 1QFY15, the 2QFY15 revenue rose 11% to RM365.8 million while PAT increased by more than 100% to RM42.3 million due to the 1QFY15 seasonally low base effect and business sentiments picking up in June for Ramadan and Raya festivities.

Tan Sri Johan Jaaffar, Chairman of Media Prima said, “Media Prima’s result for the first six months of 2015 had been affected by the sluggish advertising spending and wary macroeconomic sentiment. The Group had anticipated a period of intense competition in the industry for 2015. However, we are confident in maintaining our leadership position as the leading media conglomerate that continuously provide strong returns to its shareholders.”

Tan Sri Johan added that the Board of Directors of Media Prima has declared a first interim single tier dividend of 3.0 sen per ordinary share for the financial year ending 31 December 2015 to be paid on 30 September 2015.

On prospects for 2015, Dato’ Sri Amrin Awaluddin, Group Managing Director of Media Prima said the Group’s positive PAT margin is reflective of Media Prima’s continuous effort to review and improve internal efficiencies while managing costs effectively.

“Due to the challenging business and market conditions, Media Prima will focus on the execution of our key strategies whilst realising opportunities from advertising growth in the remaining period of the financial year as advertising expenditure is expected to pick up near the end of the year based on past trends. Media Prima had earlier taken several strategic actions including exercising prudent financial management while improving operating efficiency,” said Dato Sri Amrin.

He added that while the Group remains cautious on advertising growth at the back of consumer and economic sentiments, it has continued to expand its multi-platform content to go beyond the traditional methods. One example is how some contents are being marketed to channels beyond Media Prima Television Networks (MPTN) which will provide new opportunities for the Group.

The Group will continue to provide the best local and international content through partnerships with other content producers, foreign broadcasters and emerging digital media providers while aiming to penetrate new markets and build additional revenue streams.

“Moving forward, Media Prima has been able to maintain its strong leadership position by enhancing its respective platforms business strategies which include providing compelling content, selling of content, enhancing service offerings and giving innovative advertising solutions to its clientele,” he said.

He added that MPTN continues to command the largest viewership where the top 20 highest rated programmes for the first six months of 2015 were aired on its networks. Popular live shows like Anugerah Juara Lagu, Bintang Mencari Bintang Akhir and Anugerah Bintang Popular BH recorded over 3 million viewers each. MPTN remains Malaysians’ primary choice for local drama series, where Akasia and Lestari slots were viewed on average by over 1.5 million whilst broadcast of the Malaysian Super League and FA Cup matches in 2015 have also been very popular amongst the viewing public. The platform is also seeking to explore non-traditional revenue streams in the form of home and online shopping.

For Print media, the Group has introduced two new products in ZIP and BHPlus in early Q2 2015, both of which are more online efforts to remain relevant while growing the digital presence of its brands. This is in line with the Group’s digital efforts as consumer’s change in media consumption preferences. Nonetheless, the Group’s daily as well as weekly publications have also maintained their readership positions. Harian Metro/Metro Ahad enjoys a combined readership figure of 4.7million while BH/BH Ahad’s combined readership has now reached 1.2million. New Straits Times/News Sunday Times has a combined figure of 216,000 readership. The three newspapers have a strong following on social media with a combined total of over 7 million followers.

Meanwhile, engaging listeners in the digital space through various online and social media outlets will remain Media Prima Radio Networks’ (MPRN) focus in order to maintain and strengthen its listenership in the face of digital music consumption trends while at the same time offering attractive deals in the form of combo packages and sponsorships for advertisers across its radio stations. Riding on its increasing number of social media followers (5 million users and average of 4.7million hours of online streaming per month), the platform recently embarked on its InterAds2 strategy to increase revenue stream for MPRN, the first in the region to explore InterAds evolvement within the digital space.

For Out of Home media, the past six months saw the launch of new advertising sites at strategic locations like the Intermark Bridge on Jalan Tun Razak, LED digital and 18 new Lumi pillars to enhance excitement over the Kuala Lumpur landscape while adding value to advertisers. Big Tree Outdoor has also secured concession for more LED Cubiq digital panels, advertising sites in Nu Sentral mall as well as at a Rest & Services Area (RSA) in Perak for the coming quarter.

 

END

Author: admin

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