Star Media Group Berhad · MYX:STAR
Star Media Group Berhad — H1 2018 Earnings Presentation
26 slides from Star Media Group Berhad's earnings presentation, Aug 24, 2018
Slide 1: 1H 2018 Results Analyst Briefing
1H 2018 Results Analyst Briefing 24 August 2018 THE STAR MEDIA GROUP Read. Listen. Watch. Think. Be Inspired
Slide 2: 1H 2018 Executive Summary
1H 2018 Executive Summary Revenue EBITDA and Margins PBT Continuing Businesses 235.76 208.52 23.94 19.84 11.5% 16.72 9.5% 7.1% 7.00 3.0% 1H17 1H18 1H17 1H18 1H17 1H18 1H 2018 Key Highlights Revenue declined by (11.5%) on y-o-y basis due to lower advertising spend post election EBITDA increased s
Slide 3: Star ranks as top 2 most trusted sites in Malaysia
Star ranks as top 2 most trusted sites in Malaysia by Reuters Institute Digital News Report 2018 3
Slide 4: 988 Listenership
988 listenership GfK Sweep Results: Sweep 2 2014 to Sweep 1 2018 988 LISTENERSHIP 2,000 1,768 1,800 1,719 1,710 1,642 1,600 1,539 1,449 1,329 1,369 S214 1,400 S115 1,200 S215 1,000 S116 800 S216 S117 600 S217 400 S118 200 0 Total Note: 1. The above statistics are based on weekly listenership. 2. GfK
Slide 5: Suria Listenership
Suria listenership GfK Sweep Results: Sweep 2 2014 to Sweep 1 2018 Note: 1. The above statistics are based on weekly listenership. 2. GfK is one of the leading global market research companies. 5
Slide 6: Agenda
Agenda 11 2 3 4 Quarter 2 Quarter 2 Business 2H18 2018 2018 Group Segments Outlook & Highlights Financials financials Strategy 6
Slide 7: 2Q18's dynamics
2Q18’s dynamics • The quarter revenue was impacted due to lower advertising spend post 1. election 2. • Better cost management and lower depreciation from Print segment 7
Slide 8: TSOL June'17 – June'18
TSOL June’ 17 – June’ 18 English News Portals Performance June’17 - June’18 (Combined PC & Mobile) Total Unique Visitors (‘000) 8,000 7,000 6,000 5,000 The Star Online, 4,098 4,000 MALAYSIAKINI.COM, 4,022 3,000 2,000 NST.COM.MY, 1,623 THECOVERAGE.MY, 942 1,000 MALAYMAIL.COM, 433 0 Jun-17 Jul-17 Aug-
Slide 9: Star Biz June '17 – June '18
Star Biz June ‘17 – June ‘18 The Star Online Business versus Competitors; June’17- June’18 (Combined PC & Mobile) Total Unique Visitors (000) 1,900 THESTAR.COM.MY 1,600 Business, 1,595 1,300 THEEDGEMARKETS.COM, 1,000 807 Bloomberg, 732 700 Business Insider, 577 FORBES.COM, 568 400 WSJ.COM, 176 100 Y
Slide 10: Agenda
Agenda 11 2 3 4 Quarter 2 Quarter 2 Business 2H18 2018 2018 Group Segments Outlook & Highlights Financials financials Strategy 10
Slide 11: Performance of Star Media Group
Performance of Star Media Group Variance Variance 2Q18 2Q17 1Q18 1H18 1H17 (RM Million) (%) (%) Revenue 99.49 117.16 (15.1%) 109.03 208.52 235.76 (11.6%) EBITDA 4.67 6.82 (31.5%) 19.27 23.94 16.72 43.2% EBITDA Margin 4.7% 5.8% - 17.7% 11.5% 7.1% - PBT (continuing operations) 2.25 0.57 >100% 17.59 19
Slide 12: Agenda
Agenda 11 2 3 4 Quarter 2 Quarter 2 Business 2H18 2018 2018 Group Segments Outlook & Highlights Financials financials Strategy 12
Slide 13: 1H18 Business Segments
1H18 Business Segments 1. • Print and Digital 2. • Events & Exhibition 3. • Radio 13
Slide 14: Performance of Star Media Group: Print and Digital Segment
Performance of Star Media Group Print and Digital Segment Variance Variance 2Q18 2Q17 1Q18 1H18 1H17 (RM Million) (%) (%) Revenue 85.43 100.33 (14.9%) 92.04 177.47 203.37 (12.7%) EBITDA 4.99 9.01 (44.6%) 18.6 23.60 20.54 14.9% EBITDA Margin 5.8% 9.0% - 20.2% 13.3% 10.1% - PBT 2.36 3.05 (22.6%) 16.97
Slide 15: Breakdown of revenue 2Q18
Breakdown of revenue 2Q18 Q-on-Q and H-on-H 2Q 2018 revenue RM85.43m RM Mil comparison vs RM 100.32m in 2Q2017 250 Digital 10% 200 Circulation 150 17% 100 Advertising 73% 50 0 1Q 2018 2Q 2018 1H 2018 1H 2017 15
Slide 16: 1H18 Business Segments
1H18 Business Segments 1. • Print and Digital 2. • Events & Exhibition 3. • Radio 16
Slide 17: Performance of Star Media Group: Events & Exhibition
Performance of Star Media Group Events & Exhibition Variance Variance 2Q18 2Q17 1Q18 1H18 1H17 (RM Million) (%) (%) Revenue 3.56 3.59 (0.8%) 6.01 9.57 5.75 66.4% EBITDA 0.21 (0.18) >100% 2.71 2.92 (0.19) >100% EBITDA Margin 5.9% (5.0%) - 45.1% 30.5% (3.3%) - PBT 0.20 0.06 >100% 2.69 2.89 0.01 >100%
Slide 18: 1H18 Business Segments
1H18 Business Segments 1. • Print and Digital 2. • Events & Exhibition 3. • Radio 18
Slide 19: Performance of Star Media Group: Radio
Performance of Star Media Group Star Media Radio Group Broadcasting Variance Variance 2Q18 2Q17 1Q18 1H18 1H17 (RM Million) (%) (%) Revenue 7.12 8.80 (19.1%) 8.25 15.37 17.35 (11.4%) EBITDA 0.23 0.69 (66.7%) 1.44 1.67 2.15 (22.3%) EBITDA Margin 3.2% 7.8% - 17.5% 10.9% 12.4% - PBT 0.23 0.72 (68.1%) 1
Slide 20: Agenda
Agenda 11 2 3 4 Quarter 2 Quarter 2 Business 2H18 2018 2018 Group Segments Outlook Highlights Financials financials & Strategy 20
Slide 21: Updates post 2Q18 results
Updates post 2Q18 results • Completed the disposal of Leaderonomics on 13 August 2018 1. 2. • Penang plant cessation expected to take effect in September 2018 21
Slide 22: 2018 and Ahead
2018 and Ahead • Ongoing transformation o Continue to be lean & economically sustainable, o Restructuring of the organization:- content, revenue, product & marketing, technology and analytics. o Investing and building capabilities in analytics and technology to enhance advertising effectiveness • Un
Slide 23: In conclusion
In conclusion • Change in content policy, growth in readership for online and Biz readers • 1H18 signs of print adex rate of decline decelerating vs 1H17 • Opex reduction greater than revenue decline • Digital revenue gaining traction – with digital segment 42% up (Programmatic is 10% of digital sha
Slide 24: Download our presentation
Download our presentation http://starmediagroup.my/ or http://starmediagroup.my/investors- relations/presentations/ 24
Slide 25: Thank You
THANK YOU THE STAR MEDIA GROUP 25
Slide 26: 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
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