SINGAPORE (April 12): Singapore Press Holdings reported a 1.2% fall in earnings for the 2Q ended Feb to $53.5 million from a year ago on lower operating revenue.
At the operating level, the group reported recurring earnings of $53.0 million, 22.2% lower from a year ago. However, the decline was cushioned by a $9.5 million increase in investment income mainly attributable to higher gains on disposal of investments.
In addition, the share of results of associates and joint ventures improved by $3.1 million, partially due to lower losses from the regional online classifieds business.
Group operating revenue dipped 8.2% to $238.0 million from a year ago. Amid a slowing economy and the continuing disruption of the media industry, revenue from its media business declined 11.9% to $168 million as advertisement revenue fell 16.8% against 2Q16.
Despite headwinds in the retail environment, revenue from the property segment inched up 1.3% on the back of higher rental income from the group’s retail assets.
Total costs for the quarter fell 3.8% to $188.7 million.
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For 1H17 ended Feb, the group registered earnings of $99.2 million, 26.7% lower than a year ago.
On the business outlook, Alan Chan, Chief Executive Officer of SPH, said: “We continue to focus on our drive to sustain and transform the core media business through investment in growth areas and cost discipline, while also pursuing other opportunities to diversify revenue streams. On this count, we look forward to launching our two new radio stations at the start of 2018.”
The directors have declared an interim dividend of 6 cents per share which will be paid on May 24.
Shares of SPH fell 4 cents to close at $3.52.
