NAIROBI, Kenya, Mar 6 – Standard Group has come back to profitability following losses it made in 2015.
The firm has posted Sh198 million net profit in its full year 2016 from a Sh289 million loss it made in 2015 owing to the digital migration hit.
Turnover increased by seven percent compared to 2015 to close at Sh4.8 billion driven by increased revenue from TV and Radio segments.
“TV revenue increase is largely attributable to stable revenues over the year as the business stabilized. Radio revenue also increased due to strong leadership positions and wider presence. Revenue from print business remained relatively stable for the year under review against 2015,” the firm explains.
Direct costs hit Sh1.3 billion with overhead costs declining by 12 percent in the period under review.
The group will now focus on its strategic plan that is keen on growing broadcast and digital platform segments.
The company did not declare a dividend for the year in a bid to allow further investments in the broadcast business.
“The board is confident that the group is well equipped to withstand the existing industry challenges and attain sustainable growth and therefore continue to post good results,” the firm said.