Media Prima posts wider net loss for 1Q19
By Digital News Asia May 30, 2019
- Loss per share for the quarter rose to 3.64 sen from 1.97 sen
- Digital and commerce revenue will remain key focus areas in FY19
MEDIA Prima Bhd's net loss widened to US$9.62 million (RM40.41 million) in the first quarter ended March 31, 2019 (1Q19) from US$5.19 million (RM21.83 million) in the previous corresponding period.
Revenue fell 14.81% to US$56.93 million (RM239.1 million) from US$66.83 million (RM280.67 million), as it registered lower revenue across all but its home shopping segment. Loss per share for the quarter rose to 3.64 sen from 1.97 sen, its stock exchange filing showed on May 30.
[US$1 = RM4.195]
In the three months under review, Media Prima continued to diversify its revenue streams through investing in new growth areas across the group. This includes focusing more resources in e-sports development and digital innovations in its traditional business segments.
Media Prima Digital, through its gaming division, MyGameOn, launched Malaysia’s first and largest e-sports campus event, XPAX Kejohanan E-Sukan Kampus 2019 , in collaboration with Kitamen and XPAX.
The event drew more than 17,000 visitors from six locations and recorded over 30 million impressions online with 2.2 million video views on Facebook and YouTube. Malaysia is a fast-growing region for e-sports and the group believes that advertising revenue will move into this segment.
Earlier in the year the group’s out-of-home (OOH) segment, Big Tree, launched Big+ which is an extension of the company’s OOH integrated offerings to expand audience reach via traditional and digital methods.
Through its three key offerings — geofence technology, image scanning technology and dynamic digital content — Big+ bridges the gap between awareness, consideration and purchase, increases engagement, and creates opportunities for target marketing and sequential messaging.
In content democratisation, the Group entered into a partnership with Southeast Asian digital entertainment service iflix.
The partnership will see over 1,000 hours of Media Prima’s content available on the popular video streaming portal for free following their linear television broadcast.
This will expand Media Prima’s digital reach across Malaysia and increase its online video views significantly. The group’s total monthly online video views across all digital platforms stands close to 150 million.
The partnership with iflix will further provide easy access for consumers and open greater content monetisation opportunities for the group through iflix’s ad-supported tier, iflixFREE.
As Media Prima embarks on digital-driven and commerce business strategies, its traditional media platforms continued to deliver substantial results to the group.
In television, Media Prima continued to maintain its dominant broadcast position in Malaysia. TV3’s annual music awards show Anugerah Juara Lagu’s 33rd edition (AJL33), reached the attention of 6.3 million viewers, an increase from 6.1 million viewers last year.
The awards show garnered a total of 2.2 million views on TV3’s official YouTube channel. In content sales and distribution, Primeworks Studios sold over 70 titles and 500 hours of content to more than 10 platforms across 100 countries.
Kamal Khalid (pic), group managing director of Media Prima, said: “Structural changes in the media sector will continue to disrupt our traditional segments however our existing traditional brands still command an extensive reach and strong monetisation oppor tunities. While we will keep a close watch on our traditional businesses, digital and commerce revenue will remain our key focus areas in FY19.”
“We have become an established player in the digital realm having secured our leadership position for content on mobile devices in Malaysia. Moreover, we have been recognised as the 'Digital Publisher of the Year' at the d Awards 2019. Moving forward, we will continue to invest our resources in key growth areas as we are driven to see Media Prima become Malaysia’s leading digital-first content and commerce company,” added Kamal.