Nation Media Group Limited · NSEKE:NMG
Nation Media — H1 2017 Earnings Presentation
32 slides from Nation Media's earnings presentation, Jul 26, 2017
Slide 1: Investor Briefing F17 HY Results
INVESTOR BRIEFING F17 HY RESULTS 26TH JULY 2017
Slide 2: F17 H1 Highlights, Divisional and Group Results, Q&A
F17 2016 H1 Highlights HIGHLIGHTS HALF YEAR DIVISIONAL UPDATES RESULTS F17 H1 Divisional Results BRIEFING 2016F17 GROUP RESULTS H1 Group Results Q&A Q&A
Slide 3: NMG Objective
NMG Objective New revenue streams Protect & grow current business Consumer Developing a sustainable Digital Focus culture Grow current business & foster a strong digital foundation for a sustainable, profitable future
Slide 4: We are clear on our journey
We are clear Grow current business & foster a strong digital foundation for a on our journey sustainable, profitable future Strengthen and accelerate growth of legacy brands Drive digital growth to transition from legacy media Innovate to continuously meet consumer demands Drive out costs to
Slide 5: FY17 H1 Highlights
FY17 H1 HIGHLIGHTS DIVISIONAL RESULTS FY17 H1 GROUP RESULTS Q&A
Slide 6: 2017 Group Highlights
2017 Group Highlights Continued convergence journey across functions Embedding & driving the digital opportunity Effects of driving out costs have come through Strategic partnerships to drive the digital journey Growth of Kenya Buzz - >100% (Profit) Enhanced debt management across govern
Slide 7: Digital footprint up by 1m in 6 months
Digital footprint up by 1m in 6 months
Slide 8: Facebook Messenger Bot
lily Nation's stones your Fi book inbox Facebook Messenger Bot @ Choose when to receive alerts @ Stay informed ith us on Messenger Go www.messenger.com/t/DailyNation et Started NATION Nation mo Group
Slide 9: Mwananchi & Mwanaspoti Apps on iOS & Android
Mwananchi & Mwanaspoti Apps on iOS & Android
Slide 10: NTV Programming
NTV Programming MCHUNGAJI Strong news & entertainment content to drive growth of audiences
Slide 11: 10 Point Agenda
10 Point Agenda 1) Kenyan Spirit: Kenya and the world, resilience of the citizen 2) Jobs (youth unemployment) 3) State capture: Drugs, corruption & public procurement 4) Social: Health (access to quality care - hospitals, medicine) + Education (Exams integrity, management of schools, access/equity)
Slide 12: Thought Leadership
Thought Leadership Positioned NMG as a driver of national development issues
Slide 13: Engaging Society, Impacting the Nation
Engaging Society, Impacting the Nation
Slide 14: Awards
Awards Zeynab Wandati Pamella Sittoni The winner of the prestigious A.H Boemer Award (FAO) Women in News: Editorial Leadership Award for 2017 6 other NTV staff won awards at the annual IJEA Media Council Awards in May 2017
Slide 15: Continuous Improvement & Innovation: Our Values
Our Values Continuous Consumer Focus Employer of Improvement & Choice Innovation Integrity & Trust Drive for Performance Inspiring leadership; Team work; Continuous improvement
Slide 16: Elections Coverage
Elections Coverage National Debates Converged elections Impactful webpage coverage www.nation.co.ke/electionskenya Fact check reporting Independent, balanced news coverage
Slide 17: New Corporate Website
New Corporate Website We have upgraded, come visit! Experience the new look NMG corporate website at www.nationmedia.com
Slide 18: FY17 H1 Divisional Results
FY17 H1 HIGHLIGHTS FY17 H1 DIVISIONAL RESULTS FY17 H1 GROUP RESULTS Q&A
Slide 19: Print, BD, MPL, MCL Divisional Results
DIVISION NND TEA Print BD MPL MCL REVENUE 7% 21% 3% 6% 17% DIRECT COSTS 1% 26% 13% 7% 14% OPERATING RESULTS 14% >100% 37% 19% >100%
Slide 20: Television Division Results
Television DIVISION REVENUE 18% 1% DIRECT COSTS 23% 36% OPERATING RESULTS >100% >100%
Slide 21: Digital Division Results
Digital DIVISION KENYA REVENUE 54% DIRECT COSTS 8% OPERATING RESULTS >100%
Slide 22: FY17 H1 Group Results
FY17 H1 HIGHLIGHTS FY17 H1 DIVISIONAL RESULTS FY17 H1 GROUP RESULTS Q&A
Slide 23: Turnover Trend (KShs M)
Turnover Trend ( KShs M) 6,428 6,447 6.4% 7,000 6,110 5,844 5,635 6,000 5,274 5,000 4,000 3,000 2,000 1,000 - 2012 2013 2014 2015 2016 2017
Slide 24: Cost of Sales (KShs. M)
Cost of Sales (KShs. M) 1,600.0 1,405.1 1,274.6 1,298.9 1,267.1 1,400.0 9.3% 1,200.0 1,053.7 955.8 1,000.0 800.0 600.0 400.0 200.0 - 2012 2013 2014 2015 2016 2017
Slide 25: Total Costs (KShs. M)
Total Costs (KShs. M) 5,000 4,811 4,796 4,681 4,800 4,600 4,468 4,490 8.6% 4,400 4,103 4,200 4,000 3,800 3,600 2012 2013 2014 2015 2016 2017
Slide 26: Consolidated Statement of Comprehensive Income
Consolidated Statement of Comprehensive Income ( KShs M) June June 2017 2016 % Change Turnover 5,274.2 5,634.8 (6.4) Profit before Income Tax 1,171.2 1,144.9 2.3 Income Tax Expense (351.4) (333.4) (5.4) Other comprehensive income 5.8 (26.1) 122.2 Total comprehensive income 825.6 785.4 5.1
Slide 27: Statement of Financial Position
Statement of Financial Position ( KShs M) June December 2017 2016 Capital and reserves Share capital 471.4 471.4 Other reserves (84.6) (89.1) Retained earnings 7,207.1 6,859.5 Proposed dividends 1,885.5 1,414.1 Minority Interest 48.7 47.0 Non-current liabilities 15.0 15.2 Total Equity & Non-current
Slide 28: Condensed Cash Flow Statement
Condensed Cash Flow Statement (Kshs M) 6 Months ended 6 Months ended June 2017 June 2016 Cash generated from operations 1,547.7 1,132.0 Interest received 173.0 168.2 Interest paid 0.0 (0.3) Tax paid (799.2) (57.6) Net cash from operating activities 921.5 1,242.3 Net cash used in investing activities
Slide 29: Earnings Per Share (Kshs)
Earnings Per Share (Kshs) 7 6.0 6.0 6 4.7% 4.9 4.9 5 4.7 4.4 4.2 4 3 2 1 0 2011 2012 2013 2014 2015 2016 2017
Slide 30: Dividends
Dividends
Slide 31: Interim Dividend
Interim Dividend Dividends per Share (Kshs) 3 2.50 2.50 2.50 2.50 2.50 2.50 3 2 1.50 1.50 2 1 1 0 2010 2011 2012 2013 2014 2015 2016 2017
Slide 32: Thank You