RS pays dividend, confident of satellite TV
Play
Media giant RS is paying its stockholders an annual dividend of Bt0.25 per share in the confidence that this year its satellite TV business will remain strong, its revenue will remain on-target and its capital base will remain sufficient.
“We are ready to enter the digital TV auction without the need to increase our share capital because we are financially stable due to careful cost planning from the beginning,” Darm Nana, chief financial officer, said yesterday.
RS earned Bt281.2 million on revenue of Bt2.8 billion last year, he told the annual shareholders’ meeting. Its board declared a final dividend of Bt0.15 in addition to the interim dividend of Bt0.10.
The company credits its satellite TV business, which is growing by leaps and bounds, for predicting a boost of 40 per cent in 2013 revenue to Bt4 billion, of which Bt1.9 billion would come from its media business, Bt840 million from its music business and Bt780 million from its show business.
In the first quarter of this year, its performance has met target, enhanced by budget control to increase efficiency.
“Initially, we aim to send our two channels with high potential – Channel 8: Free TV Variety 24 Hours and Sun Channel: Extreme Entertainment Variety, to join the auction. Just a month after its launch, Sun Channel has seen its ratings double. We are confident that we can attract commercials and generate income from advertising, generating Bt100 million revenue in the first year.
“The launch of digital TV in Thailand will extend benefits to those who are already successful in satellite TV programme production because they have the expertise and experience in producing shows. Therefore, they are more likely to attract advertising spending from businesses.
“All in all, I think digital TV’s presence will drive competition and bring more players into the industry, as well as more advertising budgets. This could mean the commercial fees might be lowered, but in the end, the public will enjoy a bigger variety of quality content due to the increased competition,” he said.
However, the company is waiting to see a clearer direction from the National Broadcasting and Telecommunications Commission regarding auction fees and conditions, he added.
