The Nation Media Group (NMG) has announced a loss after tax of Sh. 260.2 million for the six months to June 30, 2024. The media house has attributed the poor performance to what it has termed as a depressed macro-economic environment and weakened consumer spending.
During the period under review, turnover declined by 10 per cent from Sh. 3.550 billion to Sh. 3.175 billion. The print business sector continued to experience declining revenues, but the company’s digital revenue grew by 14 per cent compared to the same period the previous year.
The Nation Media noted that out of the reported loss before tax of Sh. 345.8 million in the period under review, there was a one-off expense of Sh. 119.0 million that was related to a staff restructuring that undertaken in June 2024. This restructuring saw the departure of a couple of high profile editors from the company.
“We maintain our confidence in the investments we continue to make to transform the organization, develop a portfolio of new digital products, and enhance revenue diversification by monetizing our extensive digital presence,” the company said in a board statement that was issued by the company secretary Angela Namwakira.
“[NMG] will also continue to maintain a strong presence in commercially viable print and broadcast media, focusing on unique and relevant content.”
Nation Media Group sinks into Sh. 205.7 million full year net loss
This marks the latest in a series of deteriorating financial performances by the company, even as the mainstream media industry continues to take a financial beating. For instance, in the same period the previous financial 2023 year, the media company had announced a six month profit of Sh. 2.9 million.
At the time, this was a 98.8 per cent decline from the Sh. 247.8 per cent net profit that was recorded in the six months of the 2022 financial year. In April this year, the Nation Media Group announced a full year loss after tax of Sh. 205.7 million.
