KUALA LUMPUR, 10 May 2019 – Media Prima Berhad (“Media Prima” or the “Group”), Malaysia’s largest integrated media group, announced at its 18th Annual General Meeting (“AGM”) that the improved performance for the financial year ended 31 December 2018 (“FY18”) is a testament that the Group’s transformation journey, which focuses on revenue diversification, is bearing fruit.
Media Prima recorded a net revenue of RM1.2 billion which represents a marginal decline in FY18 considering tough economic conditions, compared to a 7% drop in the comparative year (“FY17”). The Group posted a profit after tax (“PAT”) of RM59.0 million for FY18, reversing a loss of RM669.7 million in FY17. This was boosted by one-off net income items amounting to RM159.7 million, mainly attributable to the gains on the sale of properties and disposal of an associate. Excluding the one-off items, the Group had narrowed the losses in FY18 by 42% against the comparative year.
In the year under review, new revenue contribution grew from 14% to 25% which represents a quarter of Media Prima’s total revenue in FY18. This growth was driven by the Media Prima’s digital and commerce ventures which recorded a total revenue increase by 76% to RM301.0 million in FY18.
In the digital segment, the Group has reached a new milestone when it became the top choice for mobile content in Malaysia, ahead of Google and Facebook*. Group digital revenue increased to RM87.9 million in FY18 from RM41.5 million in FY17. In the commerce segment, Media Prima’s home shopping segment, CJ WOW SHOP, generated total sales of RM213.1 million in FY18, a 65% increase from RM129.5 million in FY17.
Group Chairman, Datuk Mohd Nasir Ahmad, said: “We are encouraged by our FY18 performance. Our results show that the Group has narrowed the operational losses as a result of the successful implementation of digital and commerce strategies over the years. We will continue to invest more resources in key growth areas, with the aim of attaining sustainable profitability.”
Group Managing Director, Datuk Kamal Khalid, added: “Our FY18 results are a good indication that we are on the right path through our transformation strategies. The decline in traditional revenue was offset by higher revenue from our digital and commerce businesses. CJ WOW SHOP has made commendable progress and we are cautiously confident that this segment will break even this year. We target to increase the digital revenue contribution to the Group to 20% by capitalising on our wide digital audience across our multiple platforms. We are positive that we can achieve this given digital’s increasing contribution to the Group in FY18.”
Media Prima also announced to Bursa Malaysia today that all resolutions set out in the Notice of AGM dated 10 April 2019 and tabled at the 18th AGM on 10 May 2019 were duly passed by the shareholders of the Group. All resolutions were voted by poll and the results were validated by independent scrutineers appointed by Media Prima.
*Comscore Mobile Metrix® Top 100 Properties, Total Audience, Dec 2018, Malaysia
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For further information, kindly contact:
Media Prima Berhad at +603 1300 300 672 (ext. 8949) or +603 2724 8949
Azlan Abdul Aziz at [email protected] or +6012 614 0522