KUALA LUMPUR (Feb 25): Media Prima Bhd (KL:MEDIA) more than doubled its earnings in the recently-ended quarter as reduction in expenses through cost control outpaced the decline in revenue.
The media powerhouse, which publishes newspapers like New Straits Times and broadcasts TV3 among other television channels, reported net profit of RM8.86 million for the second financial quarter ended Dec 31, 2025 (2QFY2026) versus RM3.53 million in the same period a year earlier.
Revenue fell 10.3% year-on-year during the quarter to RM204.61 million as the decline in advertising revenue offset growth in non-advertising income, a bourse filing showed. No dividend was declared for the quarter.
Media Prima said it remains cautious for the second half of FY2026 amid expected continued pressure on advertising expenditure due to prevailing economic uncertainties, shifting consumer behaviour and accelerated industry disruption.
High fixed costs tied to broadcast infrastructure, satellite capacity, physical distribution fleets and print operations have limited earnings growth of Media Prima and its rival Astro Malaysia Holdings Bhd (KL:ASTRO) in a digital-first advertising era.
Legacy media firms have also been affected by cord-cutting and softening advertising expenditure as consumers shift most of their attention to the Internet and social media.
"To mitigate these headwinds, the group’s strategic focus remains centered on sustaining market leadership and audience reach across our diversified media platforms and continuously optimising operational efficiencies," Media Prima said.
For the first six months of its fiscal year, net profit totalled RM10.49 million, nearly doubling the amount recorded in the same period a year earlier. Revenue however slipped 4.6% to RM403.49 million compared with the first half a year earlier.
By segment for the six-month period, broadcasting revenue fell 9%, publishing revenue declined 8%, digital media revenue dropped 7%, while sale of home shopping products increased 17%.
Shares of Media Prima closed unchanged at 29 sen on Wednesday, with a market capitalisation of RM321.67 million ahead of the results announcement. The counter has dropped 38.3% in the last 12 months.