Advertising buoys profit at Standard Media Group
24 March 2014, 08:33
Nairobi - Kenyan media company Standard Group posted a 13 percent rise in pretax profit for 2013 on the back of sharp growth in print and TV advertising revenue.
The publisher of Kenya's oldest and second-largest daily paper, The Standard, and an operator of radio maisha and KTN TV, said profit before tax climbed to 300.7 million shillings on revenue up a third at 4.82 billion shillings.
The company said it would pay a final dividend of 0.50 shillings per share, having not made a payout the previous year.
Standard Group also said that the government's planned phasing out of analogue TV had dented profit, with impairments against analogue equipment.
Media houses have been pushing for a delay to the switch to digital TV, saying the market is not yet ready.
Despite growing usage of the Internet in Africa, traditional media such as newspapers remain profitable.
Standard Group's bigger rival Nation Media Group this week posted a small rise in pretax profit that was curbed by a jump in operating costs.