KUALA LUMPUR (May 24): After five consecutive loss-making quarters, Star Media Group Bhd reported a net profit of RM2.52 million in the first quarter ended March 31, 2022 (1QFY22) against a net loss of RM14.1 million in 1QFY21, thanks to its radio broadcasting segment.

The company posted earnings per share of 0.35 sen versus a loss per share of 1.95 sen a year earlier. Revenue grew 22.27% to RM52.1 million from RM42.61 million, its bourse filing showed.

According to Star Media, its radio broadcasting segment generated a profit before tax of RM2.2 million — compared to a loss of RM720,000 in 1QFY21, as revenue rose to RM8.5 million from RM6.31 million.

Its print and digital segment also saw an improvement, with a profit before tax of RM650,000 — up from a loss before tax of RM13.2 million previously — as revenue grew 23.3%, mainly due to the resumption of economic activities, which led to an increase in advertisement bookings.

Its event and exhibition segment recorded a loss amounting to RM200,000 in 1QFY22, compared to a loss of RM480,000 in the corresponding quarter. "With better cost management and capitalising on economies of scale, the group managed to achieve a better performance for this segment,” said Star Media.

Despite improving consumer sentiment and business activities, the group expects market conditions to remain volatile, in view of increasing inflation pressure, the prolonged Ukraine crisis, and supply chain disruptions.

“The group will continue its efforts in retaining and sustaining its investment in its digital transformation initiatives and strategies with the various digitally-driven products such as The Star Online, mStar and the newly launched BM news portal, Majoriti, which aims to further strengthen our market share in the Malay community.

"The group will leverage on its existing assets to continuously look for various opportunities that generate synergistic benefits and strengthen all our existing products in the ever-changing market environment to further boost the performance of the group,” the company said on its prospects.

Star Media shares declined 1.59% or half a sen to 31 sen at Tuesday’s (May 24) close, giving the group a market capitalisation of RM228.95 million.