Listed media group, Kagiso Media on Wednesday (18 September) reported a 39.7% rise in total revenue to R1.335 billion for the year ended 30 June 2013, thanks to growth in its broadcasting assets.
The group said that its growth was also driven by the inclusion of full year results from text book retailer, Juta and Company, as well as the acquisition of market research firm, Kaufman Levin Associates.
Operating profit of R283 million, was up 9% from R259.65 million before, while profit from continuing operations was up 19.2% to R253.9 million.
Headline earnings per share of 168.8 cents, showed a big improvement on 135.5 cents in 2012.
Kagiso announced a final dividend of 40 cents per share.
Broadcasting accounted for R669.87 million of group revenue, up from R586.4 million in the prior period, with operating profit in this segment up to R300.6 million, from R267.66 million in 2012.
“In particular, the radio assets have outperformed the market median in advertising spend. The introduction of Juta into the portfolio has assisted significantly in
driving both top line and bottom line growth,” Kagiso said.
The group said that the flow through of radio media campaigns by the financial sector continued, and more recently the telecommunication and automobile sectors positively influenced group results.
“Our Information and Other segment, which now includes Juta, delivered double digit growth in a mature sector. New products were launched late in the 4th quarter which
will only impact the 2014 results,” it said.
Kagiso Tiso currently owns 51.1% of KML.
Looking ahead, Kagiso said: “Digital is and will be core to everything we do, new approaches, innovation and creativity will enable Kagiso Media to grow and compete.”
This, it said, may require a longer term view of growth related investments.
Kagiso Media operates primarily through:
- Broadcasting with radio assets including East Coast Radio (100%), Jacaranda FM (80%), OFM (24.9%), and an economic interest in Kaya FM (47.5%);
- Information and other which includes Juta (100%), Knowledge Factory (70%);
- Digital Services which includes Gloo Digital Design (60%) and Kagiso.MSN;
- And content where it holds a controlling stake (50.1%) in Urban Brew Studios.
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