Berjaya Media’s revenue rises on higher ad income

PETALING JAYA: Berjaya Media Bhd’s (BMedia) revenue expanded 6.2% to RM9.07 million for the fourth quarter (Q4) ended April 30, 2017 from RM8.55 million in the previous corresponding period, driven by higher advertising income registered by its principal operating subsidiary Sun Media Corp Sdn Bhd.

However, its net loss widened from RM3.52 million to RM14.01 million, due to impairment loss on the remaining carrying amount of the publishing rights of RM12 million made in the current quarter.

As a result of the impairment loss on publishing rights, BMedia triggered Bursa Malaysia’s Practice Note 17 (PN 17) criteria. Based on the unaudited Q4 interim financial results, its shareholders’ equity on a consolidated basis of less than RM40 million represented 25% or less of its issued capital.

The group needs to submit a regularisation plan to the authority within 12 months’ time.

In view of the current financial condition, BMedia said more marketing efforts will be initiated in the forthcoming months to improve its financial position and to preserve the shareholders’ equity funds.

It highlighted that the board has been exploring other options, including diversifying into new businesses beyond the media sector, to strengthen its financial position with the key objective to regularise its PN17 condition.

BMedia’s full-year revenue fell 4% to RM42.75 million from RM44.53 million a year ago, with a widened net loss of RM21.13 million versus RM15.91 million.