KUALA LUMPUR: Media Prima Bhd, which saw its net profit rise 22.6% for the second quarter ended June 30, 2015 (2QFY15), announced the resignation of chairman Tan Sri Johan Jaffar, 61, effective Aug 31.
He will be replaced by the current deputy chairman, Datuk Seri Fateh Iskandar Mohamed Mansor, who will be redesignated to fill the post on Sept 1. In a statement to The Malaysian Insider, Johan, who has been with the group over six years, said his departure had nothing to do with his strident defence of the Malaysian Anti-Corruption Commission (MACC) after several of its officers were detained recently.
“I would like to make it clear that I am not in any manner under any pressure to leave.
“I have decided not to renew my contract after the fifth year (last year),” said Johan, whose contract will be expiring on Aug 31.
As chairman of the anti-graft agency’s consultation and prevention panel (PPPR), Johan has been vocal on various issues, especially the perceived harassment of the agency and its officers.
He also spoke out after two senior MACC officers were suddenly transferred to the Prime Minister’s Office, a move which was later rescinded.
“I remain the chairman of PPPR and will continue to speak on its behalf justly and without fear and favour,” he added.
His successor Fateh, also 61, is currently group managing director and chief executive officer of Glomac Bhd. Fateh is also the president of the Real Estate and Housing Developers Association (Rehda) Malaysia. He is also a director of Telekom Malaysia Bhd.
Former Economic Planning Unit director-general Datuk Raja Datuk Zaharaton Raja Zainal Abidin, 66, was also appointed to the media group’s board as an independent and non-executive director, with immediate effect.
Meanwhile, the group’s net profit for 2QFY15 came in higher at RM43.94 million, compared with RM35.83 million a year ago, on lower operating expenses and finance costs, according to its filing with Bursa Malaysia yesterday.
Revenue for 2QFY15, however, dipped 5.9% to RM365.82 million from RM388.58 million.
It also declared a first interim dividend of three sen per share, payable on Sept 30.
For its cumulative six months (1HFY15), Media Prima’s net profit was flat at RM62.83 million, compared with RM62.85 million for 1HFY14. Revenue, however, declined 6.4% to RM695.21 million from RM742.68 million, on sluggish advertising spending and lacklustre macroeconomic sentiment.
The group expects lacklustre advertising expenditure and market uncertainties to remain. It will continue to expand its multiplatform content and manage costs to improve operational effectiveness and efficiency.
It remains cautiously optimistic about its financial performance for FY15.
This article first appeared in digitaledge Daily, on August 14, 2015.