Media Prima 1Q profit rises 31% with improved adex

Business & Markets 2013
Written by Kamarul Anwar of theedgemalaysia.com
Tuesday, 07 May 2013 18:46
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KUALA LUMPUR (May 7): MEDIA PRIMA BHD []’s reported net
earnings for the first quarter ended March 31, 2013 (1QFY13) was
RM27.11 million -- 30.5% higher from last year’s RM20.77 million in
similar quarter.
Media Prima’s revenue in the quarter was 9.1% higher at RM365.84
million, against RM335.38 million from the previous corresponding
period.
“In line with Malaysia’s adex growth, the group recorded an increase of
9% and 30% in net revenue and profit after tax respectively which are
mainly attributable to the non-traditional advertisers’ (NTAs) spending.
The market improved over a weak Q1 2012,” said Media Prima in a
filing to Bursa Malaysia.
However, it added the advertising expenditure (adex) recovery has yet to reach the level seen in the first quarter of 2011.
“The group’s complete media offering and leadership position enables it to remain resilient and relevant by being able to offer
comprehensive, customised and integrated solutions to the clients,” it said.
Media Prima also said that the first quarter of the year has always seen the lowest adex compared to others.
Thus when compared to the previous quarter (4QFY12), its 1QFY13 net profit was only about a third of what it reaped in the
three months ended December 31 of last year.
Its net profit for 4QFY12 came in at RM73.29 million on revenue of RM477.73 million.
Moving forward, Media Prima said it is committed to maintaining its leadership position in the media industry and earnings
growth.
It will do so by continuing its investment in “quality and relevant” content