Star Media Group Berhad · MYX:STAR
Star Media Group Berhad — Q1 2017 Earnings Presentation
31 slides from Star Media Group Berhad's earnings presentation, April 2017
Slide 1: The Star Media Group
THE STAR MEDIA GROUP Read. Listen. Watch. Think. Be Inspired
Slide 2: Disclaimer
DISCLAIMER This presentation and the discussion following may contain forward looking statements by the Star Media Group Berhad (“Company”) related to financial, market or industry trends for future period. Actual future performance, outcomes and results may differ materially from those expressed in
Slide 3: Agenda
Agenda 11 2 3 4 Quarter 1 Quarter 1 Business 2017 2017 Group Segments Strategy Highlights Financials financials 3
Slide 4: 1Q17's dynamics
1Q17’s dynamics 1. • Soft start as print segment faced headwinds 2. • Growth in revenue from the digital segment primarily from Property BU 3. • Improved performance from Radio segment 4. • Strong growth in the Events & Exhibition segment 4
Slide 5: YTD Mar '16 / '17; total adex, all media
YTD Mar ’16 / ’17; total adex, all media Medium share (%) YTD Mar 2017 (ex. Pay TV & Astro Radio) YTD Mar 2016 (ex. Pay TV & Astro Radio) Cinema In-Store Radio 2% Media 3% 3% Cinema In-Store Radio 1% Media Magazines 3% 3% 1% Magazines FTA 1% Television FTA 43% Television 39% Newspapers 53% Newspaper
Slide 6: YTD Mar '16 / '17; English paper adex
YTD Mar ‘16 / ‘17; English paper adex Total English newspapers Adex, Peninsular Malaysia YTD Dec (%) YTD Mar 2017 YTD Mar 2016 Media 3, 2% Media 4, 4% Media 3, Media 4, 3% 3% Media 2, 8% Media 2, 5% Media 1, 22% Media 1, 23% The Star, 67% The Star, 63% Source: Nielsen AIS. Numbers have not taken int
Slide 7: YTD display market share
YTD display market share Total English newspapers adex, Peninsular Malaysia; YTD Mar 2017 (%) Display Market Share 80.0% 72.8% 70.0% 60.0% 50.0% 40.0% 30.0% 20.0% 12.4% 11.9% 10.0% 2.9% 0.0% The Star Media 1 Media 2 Media 3 Display Mkt. Share (%) Source: Nielsen AIS Star has dominance in the display
Slide 8: 1Q17 highlights
1Q17 highlights • Ceased distribution of print in Sabah/Sarawak on 1 Feb 2017 • Epaper subscription in East Malaysia increased 14.7% from 6,099 to 7,001 as at April 2017 • dimsum sealed deals with China International Television Corp (CITVC), Shanghai Media Group, Japanese broadcaster TV Asahi, Hong
Slide 9: 1Q17 highlights
1Q17 highlights Partnership with Etika, Malaysia’s biggest beverage distributor Partnership with Senheng and senQ, Malaysia’s leading consumer electronics chain store
Slide 10: 1Q17 highlights
1Q17 highlights Malaysian SVOD service dimsum unveils Asian broadcaster deals Hong Kong Filmart Tastier treats 2017 coming to dimsum Collaboration with Regional Partners: • CITVC (China) Video On Demand service • Shanghai Media Group dimsum inks major content deal (China) • TV Asahi (Japan) • MediaQ
Slide 11: 1Q17 highlights
1Q17 highlights Compatible with Google Chromecast
Slide 12: 1Q17 highlights
1Q17 highlights Branded VOD channels • Oh!K (Turner Asia Pacific) • Shanghai Media Group (China) • Go Asean (Malaysia)
Slide 13: Dimsum's road map 2017
Dimsum’s road map 2017 Branded VOD Direct Operator Billing July Chromecast & Airplay compatibility May Jun Apr Zero Rated Mar Aug video viewing Feb Retail Presence @ 130 outlets nationwide Dec Jan Nov START CNY simulcast UP from Jiangsu, China
Slide 14: TSOL; Mar '16 - Mar '17
TSOL; Mar ‘16 – Mar’ 17 English News Portals Performance Mar’16 - Mar’17 (Combined PC & Mobile) Total Unique Visitors (‘000) 4,000 In Mar’17, The Star Online saw 3,490 3,500 3,000 a record high of 8.3 Mil Users 2,689 2,500 2,000 1,500 986 1,000 879 500 580 0 Mar-16 Apr-16 May-16 Jun-16 Jul-16 Aug-16
Slide 15: Star Biz, Mar '16 - Mar '17
Star Biz, Mar ‘16 – Mar ‘17 The Star Online Business versus Competitors; Mar’16- Mar’17 (Combined PC & Mobile) Total Unique Visitors (000) 1,400 1,300 1,200 1,069 1,100 1,044 1,000 900 800 700 600 500 400 300 346 252 200 100 0 Mar-16 Apr-16 May-16 Jun-16 Jul-16 Aug-16 Sep-16 Oct-16 Nov-16 Dec-16 Jan
Slide 16: Agenda
Agenda 11 2 3 4 Quarter 1 Quarter 1 Business 2017 2017 Group Segments Strategy Highlights Financials financials 16
Slide 17: Performance of Star Media Group
Performance of Star Media Group 1Q17 1Q16 Variance 4Q16 (RM million) (%) Revenue 183.10 198.73 (7.9%) 260.35 EBITDA 21.44 28.99 (26.0%) 8.36 PBT 13.76 22.38 (38.5%) 47.52 Extraordinary items - 39.97 PBT (excluding extraordinary - 7.55 items) EBITDA Margin 11.7% 14.6% - 3.2% PBT Margin 7.5% 11.3% - 1
Slide 18: Agenda
Agenda 11 2 3 4 Quarter 1 Quarter 1 Business 2017 2017 Group Segments Strategy Highlights Financials financials 18
Slide 19: 1Q17 Business Segments
1Q17 Business Segments 1. • Print and Digital 2. • Event, Exhibition, Interior and Thematic 3. • TV Channel • Radio 4. 19
Slide 20: Performance of Star Media Group: Print and Digital Segment
Performance of Star Media Group Print and Digital Segment 1Q17 1Q16 Variance 4Q16 (RM million) (%) Revenue 114.2 141.91 (19.5%) 128.34 EBITDA 11.54 31.66 (63.6%) 19.45 PBT 8.10 27.16 (70.2%) 16.32 EBITDA Margin 10.1% 22.3% - 15.2% PBT Margin 7.1% 19.1% - 12.7% Tough quarter due to poor consumer sent
Slide 21: Breakdown of revenue 1Q17
Breakdown of revenue 1Q17 Q-on-Q comparison 160 1Q 2017 revenue RM114.21m 140 vs RM141.91m in 1Q2016 120 Digital 5% 100 Circulation 13% 80 60 Advertising 40 82% 20 0 1Q 2017 1Q 2016 Advertising Circulation Digital 21
Slide 22: 1Q17 Business Segments
1Q17 Business Segments 1. • Print and Digital 2. • Event, Exhibition, Interior and Thematic 3. • TV Channel • Radio 4. 22
Slide 23: Performance of I.Star Ideas Factory
Performance of I.Star Ideas Factory 1Q17 1Q16 Variance 4Q16 (RM million) (%) Revenue 2.16 1.19 81.5% 4.63 EBITDA/ (0.01) (1.09) 99.1% 1.55 (LBITDA) PBT/LBT (0.05) (1.07) 95.3% 1.53 EBITDA/ (0.5%) (91.6%) - 33.5% (LBITDA) Margin PBT/LBT Margin (2.3%) (89.9%) - 33.1% Revenue improved and losses narrow
Slide 24: Performance of Cityneon Holdings Ltd
Performance of Cityneon Holdings Ltd 1Q17 1Q16 Variance 4Q16 (SGD million) (%) Revenue 16.32 13.5 20.9% 33.74 EBITDA 3.70 0.29 1175.9% 3.47 PBT/(LBT) 2.27 (0.31) 832.3% 2.24 EBITDA Margin 22.7% 2.15% - 10.3% PBT/(LBT) Margin 13.9% (2.3%) - 6.6% Higher revenue contribution from exhibition services an
Slide 25: 1Q17 Business Segments
1Q17 Business Segments 1. • Print and Digital 2. • Event, Exhibition, Interior and Thematic 3. • TV Channel • Radio 4. 25
Slide 26: Performance of Li TV Holdings Ltd
Performance of Li TV Holdings Ltd 1Q17 1Q16 Variance 4Q16 (USD million) (%) Revenue 0.74 0.48 54.2% 1.26 (LBITDA) (0.29) (0.47) 38.3% (0.11) (LBT) (0.30) (0.48) 37.5% (0.12) (LBITDA) Margin (39.2%) (97.9%) - (8.7%) (LBT) Margin (40.5%) (100%) - (9.5%) Revenue rose and losses narrowed 26
Slide 27: 1Q17 Business Segments
1Q17 Business Segments 1. • Print and Digital 2. • Event, Exhibition, Interior and Thematic 3. • TV Channel • Radio 4. 27
Slide 28: Performance of Radio Operations
Performance of Radio Operations Star Media Radio Group 1Q17 1Q16 Variance 4Q16 (RM million) (%) Revenue 9.91 10.95 (9.5%) 11.48 (LBITDA)/EBITDA 1.13 (0.11) 1127.3% 0.61 (LBT)/PBT 1.07 (0.36) 397.2% 1.21 (excluding impairment) (LBITDA)/EBITDA Margin 11.4% (1.0%) - 5.3% (LBT)/PBT Margin 10.8% (3.3%) -
Slide 29: Agenda
Agenda 11 2 3 4 Quarter 1 Quarter 1 Business 2017 2017 Group Segments Strategy Highlights Financials financials 29
Slide 30: Strategy
Strategy • dimsum is broadening the strength of its Asian content 1. through branded VOD with regional partners • Increasing dimsum distribution through telco partners & TV 2. manufacturers • Aggressive drive to provide more bundled products and 3. creative buys to advertisers, as well as organize c
Slide 31: Download our presentation
Download our presentation http://starmediagroup.my/ or http://starmediagroup.my/investors- relations/presentations/ 31
Star Media Group Berhad — Q1 2017 Earnings Presentation on 6ix