This article first appeared in The Edge Financial Daily on May 25, 2018

KUALA LUMPUR: Media Prima Bhd, which publishes The New Straits Times, Berita Harian and Harian Metro, said it is on the lookout for acquisitions, joint ventures (JVs) and/or strategic partnerships to enhance long-term shareholder value.

The media group posted its fifth straight quarterly loss in the first quarter ended March 31, 2018 (1QFY18). Year-on-year (y-o-y), 1Q net loss narrowed to RM21.83 million from RM38.47 million; loss per share was down to 1.97 sen from 3.47 sen, while revenue rose 3.1% to RM280.67 million from RM272.2 million on higher digital advertising, content and commerce revenues.

In a statement yesterday, Media Prima said it achieved a 98% y-o-y increase in revenue for its digital segment in 1QFY18, due to higher digital advertising earnings from Rev Asia Holdings, a company acquired last August, which contributed 47% of Media Prima Digital’s revenue.

But Media Prima saw lower advertising expenditure take-up in the free-to-air television segment, which led to a decrease in revenue of 14% y-o-y in 1QFY18 on a loss of RM34.7 million against RM23 million for 1QFY17. Media Prima Television Networks aims to increase its market share from 34% to 40% in 2018.

As for its unit The New Straits Times Press (Malaysia) Bhd, it posted a 1% y-o-y drop in revenue, mainly on lower newspaper sales by 24%, which offset higher 1QFY18 newspaper advertising and digital revenues.

Media Prima said it will continue its transformation to become a leading digital-first content and commerce company, and accelerate revenue-generating initiatives by maximising core assets while diversifying into new revenue streams.

“The foundation of these efforts is placed in several key areas, which include market leadership in broadcasting, over-the-top content and digital publishing. The group is also focused on growing commerce revenue through integrated media and expansion beyond Malaysia. Continuous cost management by maximising the existing value chain and increasing productivity and efficiency will still be priorities while exercising prudent financial and risk management,” it added.