New Media Lab (1284) H2 2023 earnings summary

Executive summary

• FY2023 revenue was HK$220.9m and net profit HK$14.5m; adjusted net profit, excluding listing expenses and one-off income, was HK$22.2m.

• Digital advertising remained the core business, contributing 95.8% of revenue; a final dividend of HK1.2 cents per share was recommended.

Financial highlights

• Revenue was HK$220.9m versus HK$240.7m in 2022; digital advertising revenue was HK$211.5m versus HK$229.2m.

• Net profit was HK$14.5m versus HK$39.4m; adjusted net profit was HK$22.2m versus HK$37.9m.

• Basic and diluted EPS was HK2.8 cents versus HK8.8 cents.

• Profit before tax was HK$18.9m versus HK$46.8m; income tax expense was HK$4.3m versus HK$7.4m.

Outlook and guidance

• Plans include investing in digital platforms, upgrading the content management system, and expanding AI and machine-learning use in backend operations and business analysis.

• The strategy is to use nine diverse media brands and trend-led content to attract advertisers, sustain audience engagement, and support stable performance amid weak consumer confidence.