KUALA LUMPUR, 19 November 2015 – Media Prima Berhad (“Media Prima” or “the Group”), Malaysia’s leading fully-integrated media investment company recorded RM1.06 billion revenue and RM106.8 million Profit After Tax (PAT) for the third quarter ended 30 September 2015 (3QFY15). Despite a 5 percent reduction in revenue, the Group was able to sustain its profitability on a year-on-year comparison while improving on a 5 percentile level for its operations profit.
For 3QFY15, Media Prima recorded revenue of RM365.4 million and PAT of RM45.1 million, an increase of 7 percent despite similar revenue recorded in 2QFY15.
Datuk Seri FD Iskandar, Group Chairman of Media Prima said, “The Group had anticipated a period of intense competition, subdued market sentiments and an overall increasingly difficult operating environment in the industry for 2015. The Group will continuously review and improve its internal efficiencies whilst managing costs prudently”.
He added that the Group declared a second interim dividend of two sen per share in 3QFY15, bringing the cumulative 9MFY15 dividend declared to five Sen.
On prospects for 2015, Dato’ Sri Amrin Awaluddin, Group Managing Director of Media Prima said the rest of the year is expected to remain challenging for the Group. Apart from the weak market sentiments, the gradual shift in consumer preferences towards digital media is driving a shift in advertising expenditure market despite the existing dominance of traditional media platforms which remains the Group’s core.
“We invested very early into delivery of content through digital media which we believe will complement our existing media platforms. The success of Tonton, which currently has surpassed 5 million registered users, combined with apps readily available for IOS and Android devices from our Print and Radio media platforms demonstrate our readiness to take advantage of the opportunities available in the future.” said Dato’ Sri Amrin.
He added that while the Group remains cautious on advertising growth in view of the consumer and economic sentiments, Media Prima will focus on the execution of its key strategies on advertising growth in the remaining period of the financial year as advertising expenditure is expected to take up near the end of the year based on past trends.
The Group will also continue to provide the best local and international content while aiming to penetrate new markets and build additional revenue streams.
“Media Prima Television Networks (MPTN) continues to command the largest viewership share where the top 20 highest rated programmes for the months between July to September 2015 were aired on its networks. Popular live shows like Anugerah Juara Lagu, Anugerah Bintang Popular BH and Super Qu Puteh Bintang Bersama Bintang were watched by over 4 million people. MPTN remains Malaysian’s primary choice for local drama series, where Akasia and Lestari slots were viewed on average by almost 2 million viewers.
Meanwhile, Media Prima Radio Networks (MPRN) has become more popular with increased social media following of 6.2 million users for its three radio stations. The Group has continued to expand this business by acquiring Ultra FM and Pi Mai FM radio broadcasting stations in October. The acquisition provides tremendous potential in terms of revenue growth for the Group and is in line with its business strategy of procuring strategic media assets to add to existing portfolio. The move is also expected to grow MPRN’s radio advertising share to complement its leadership position in television, content production, print, out-of-home and online digital platforms.
In Print Media, new marketing and circulation initiatives were constantly being executed alongside efforts to grow its digital media presence of brands. The most recent was the introduction of mobile friendly applications for New Straits Times, BH and Harian Metro, that can be downloaded for devices running on the IOS and Android platforms. The papers’ news and contents are already available through various digital platforms such as news website, ePaper, Google Play Newsstand as well as social media avenues like Facebook, Instagram, Twitter and YouTube. The Group also offers news and contents through its digital interactive magazine, ZIP and Tech Kingdom and also Premium BH Plus.
“Media Prima’s Out of Home (OOH) advertising media remained resilient and recorded growth in YTD revenue and PAT compared to corresponding period in 2014. We will continue to expand our digital solutions which provide innovative approach towards OOH advertising while seeking new advertising sites and concessions at premium market centres,” said Dato’ Sri Amrin. Media Prima had in 2015 secured concession rights for Nu Sentral, naming rights for KL Monorail Bukit Bintang and LRT Kelana Jaya line Bangsar stations.
Dato’ Sri Amrin concluded that the leadership position enjoyed by the Group’s integrated media platforms, which also include Media Prima Digital and Primeworks Studios continuously attracts advertisers looking to maximise their advertising investments.
End
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