Media Prima brought in RM2.2 million in digital advertising, digital content and commerce revenue in Q1 18, a 44% increase compared to the same period last year. The group recorded a revenue of RM280.7 million in the first quarter of 2018 ended 31 March 2018 (Q1 18), at 3.1% increase from RM272.2 million during the same period last year.
According to the group, the positive results reflect the progress of its transformation efforts to become the country's leading digital-first content and commerce company. Some of these efforts include creating more digital content and applications, as well as capitalising on intellectual properties and sale of content to new markets.
The group achieved a 98% increase in revenue from its digital segment in Q1 18, due to higher digital advertising earnings from Rev Asia Holdings, which contributed to 47% of Media Prima Digital's revenue. The group acquired Rev Asia last year for RM105 million. According to the financial statement, Media Prima will continue to find new ways to leverage on its competitive advantages in the digital space for more monetisation opportunities.
Meanwhile on the traditional media front, Media Prima Radio Networks (MPRN) posted a 20% revenue increase in Q1 18 due to higher advertising revenue. Out-of-home (OOH) advertising's revenue jumped by 4% compared to the same period last year due to higher yield from digital sites.
Media Prima said Big Tree is looking to expand its footprint across the region at the same time.
Media Prima Television Network (MPTN) currently reaches an average of 9.6 million Malaysians daily and aims to increase its audience market share from 34% to 40% in 2018. In the meantime, Tonton saw its total number of registered users increase by 2.6% to 7.8 million, and continues to grow by 18,000 users weekly. The group said in the financial statement that it will continue to uphold its leadership position in the traditional media space.
The New Straits Times Press (NSTP) also benefited from the group’s digital-first strategies by focusing its efforts on digital publishing. According to Google Analytics, Harian Metro’s website recorded more than 8.6 million monthly average unique visitors for the first three months this year. Berita Harian's website ranked second with a total of 6.1 million monthly average unique visitors for Q1 18.
The group's content creation arm, Primeworks Studios (PWS), tied up with AirAsia to introduce M.A.T.A. Spy Jet, an Airbus A320 decked out with Ejen Ali characters. In a bid to reach out to more markets, PWS also inked a partnership with The RightsXchange, a platform that connects content to international buyers.
Media Prima also demonstrated its ability to harness the capabilities of traditional and digital media through its Gegaria Fest 2018,an integrated digital-centric on-ground lifestyle and entertainment event. The festival, which was held between January to April this year, drew over 220,000 visitors and had a digital reach of over 6.8 million views on Facebook Live.
Meanwhile in the e-commerce space, CJ Wow Shop's revenue jumped by 58.8% from RM27.7 million during the same period last year to RM44.0 million in Q1 18. Its customer base grew by 19.8% to a total of 771,300 shoppers, and is expected to break even in 2019, the financial statement said.
Moving forward, the group will accelerate revenue generating initiatives by maximising its core assets while diversifying into new revenue streams. It will also look out for acquisitions, joint ventures and/or strategic partnerships, with an aim to enhance long-term shareholder value.
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