Malaysia – Media Prima Berhad (MPB) has recorded its first-ever first-quarter loss as the global downturn took a toll on domestic consumption and advertising expenditure. MPB registered a loss after tax and minority interest of RM23.23 million for the first quarter ended 31 March 2009 compared with a net profit of RM17.06 million in the previous corresponding quarter. Group revenue declined 12 percent to RM141.18 million for the first quarter against RM159.59 million recorded in the previous corresponding quarter. “The first quarter of 2009 was an extremely challenging period given that traditionally it is the softest quarter of the year with revenue being affected by businesses reducing or delaying their advertising spend. Despite our extensive efforts to stringently control costs, given the mostly fixed cost nature of our operations and, the decline in revenue inevitably had an impact on our bottom line,” said Datuk Johan Jaaffar, executive chairman of MPB in a statement. MPB’s TV operation was the worst affected with a 17 percent decline in revenue, while radio and outdoor advertising assets grew by 41 and 3 percent respectively. The group’s TV Networks, comprising TV3, 8tv, ntv7 and TV9, continued to perform well, collectively achieving a combined audience share of 52 percent in the first quarter of 2009, compared with 50 percent in the previous period. Meanwhile, MPB Radio Networks – HotFM and FlyFM and the newly-launched Chinese radio network, One FM – continued to show strong increase in revenue and profitability. MPB’s outdoor division was also able to deliver resilient results with increased revenue from higher occupancy of sites and stringent cost control. MPB’s associate The New Straits Times (M) Press Bhd, meanwhile, registered a net loss of RM1.3 million compared to a net profit of RM5.7 million recorded in the prior period due to lower advertising spend. MPB’s group managing director and chief executive officer Abdul Rahman Ahmad says he remains hopeful that the domestic economy will improve in the later part of the year given the impact of the government’s stimulus package which will provide a boost to advertising spending. He said MPB’s fundamentals remain strong and its strategy to diversify earnings via expansion into other media will provide some revenue and earnings protections.