business

Media Prima's net loss narrows in 2Q19

KUALA LUMPUR: Media Prima Bhd’s net loss narrowed by 78 per cent to RM8.83 million in the second quarter ended June 30 2019, from a net loss of RM40.41 million in the preceding quarter.

For the half-year, the group dipped into a net loss of RM49.23 million reversing the net profit of RM10.13 million in the same period last year, amid challenging economic and operating conditions.

Media Prima posted a revenue of RM535.9 million in the first half of this year against RM623 million in the comparative period a year ago.

Group chairman Datuk Syed Hussian Aljunid said the results reflected the challenges affecting media companies worldwide.

“Amid unfavourable economic conditions that increasingly affects advertising expenditure, particularly for our traditional businesses, the group improved its second quarter results against the immediate preceding quarter.

“We are encouraged by the outcome of our efforts and barring unforeseen circumstances, the group expects to keep this momentum in the remaining quarters of the financial year,” he said in a statement.

Group managing director Datuk Kamal Khalid said the group continued to focus on managing costs and had during the first six months reduced operating expenses by 11 per cent against the comparative period.

“We will continue to identify areas of improvement with a view to become a media organisation better equipped to capitalise on opportunities and confront challenges in the new era dominated by digital,” he said.

Media Prima’s traditional advertising revenue for the six months dropped 19 per cent against the corresponding period.

The decline was partially mitigated by growth in the group’s commerce revenue led by Media Prima’s home shopping segment.

CJ Wow Shop remained on the upswing with revenue rising 19 per cent to RM114.3 million in the first half of this year against RM96 million in last year.

On the digital front, Big Tree recorded a high occupancy rate of 85 per cent for its digital out-of-home inventory in the first six-month period.

This represents a five per cent point increase from 80 per cent in the comparative period.

Media Prima said The New Straits Times Press’ online brands, My Metro, BH Online and NST Online, continued to rank among the top news sites for Malaysians with 10.2 million, 7.4 million and 3.6 million monthly average users respectively.

Media Prima Television Networks maintained its dominant broadcast position in Malaysia with a 36.1 per cent total audience share, an increase from 34.7 per cent in the corresponding period.

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