Media Prima posts 15% increase in net profit

by AZREEN HANI / source

MEDIA Prima Bhd saw its net profit for the quarter ended March 31, 2022 (1Q22), jumped almost 15% to RM6.03 million compared to RM5.25 million a year ago.

The media group’s revenue registered a marginal decrease of 3% to RM247.5 million in 1Q22 from RM254.5 million in 1Q21.

Media Prima’s revenue was backed by a 14% increase in advertising revenue, registering RM174.4 million for the period under review, as compared to RM152.3 million in the corresponding quarter.

“We are pleased with our results for 1Q22. This was backed by stronger advertising revenue contributions across all our business segments which illustrates that we have established a strong sales strategy and team under Omnia,” Media Prima chairman Datuk Seri Syed Hussian Aljunid said in a statement yesterday.

“The group believes that Omnia is poised to benefit from the reopening of the economy which has prompted advertisers to spend more.

“We are also heartened by the performance of our broadcasting and digital segments which have contributed significantly to the group’s overall revenue,” he added.

At the same time, the company’s broadcasting segment — represented by Media Prima Television Networks and Media Prima Audio — posted a revenue increase of 28% to RM118.3 million in 1Q22 from RM92.5 million in 1Q21.

Media Prima’s out-of-home business, Big Tree Outdoor Sdn Bhd, recorded a 13% revenue increase in 1Q22 against the corresponding period in 2021, following the reopening of more economic sectors and a gradual return in demand for outdoor advertising. 

Content sales revenue more than doubled in the three months under review due to increase in demand for more local content from existing and new streaming service providers.

Additionally, its digital segment, REV Media Group, recorded a 22% revenue increase to RM23.5 million in 1Q22 against the corresponding quarter.

Media Prima group MD Rafiq Razali said: “We marched into 2022 on a positive note, recording a profitable quarter following our strong performance in financial year 2021, despite the period under review being a traditionally challenging period of the financial year.”

He however noted that the challenges and competition will evolve, hence why the company must continue to adapt and reform to ensure it delivers the best to the advertisers and to the 98% of Malaysian households the group serves.

“Moving forward, our aim is to create more synergies across our businesses to truly unlock our value as Malaysia’s leading integrated media group,” he added.