New strategy paying dividends as Nation Group sees 20% revenue growth

Nation Group (Thailand) Plc expects a 20% growth in revenue this year following its strategy of more emphasis on generating online news content and the events business.

The group had reported consolidated revenue of 1.48 billion baht in 2022.
The company also aims to reduce accumulated losses of nearly 3 billion baht through various measures, with the backing of shareholders.

At the company’s recent annual general meeting, the shareholders reappointed Marut Arthakaivalvatee (director), Shine Bunnag (director), and Apiwut Thongkam (independent director). The shareholders also approved all the items on the agenda of the AGM.

Nation Group (Thailand) vice president Somchai Meesen said the company’s results during the past five years had improved following changes to business strategies and focus.

Somchai expects 20% revenue growth this year over the 1.48 billion baht consolidated revenue generated in 2022, driven by an emphasis on online video news content and hosting of various events with business partners which should contribute at least 150 million baht in revenue this year compared to 119 million baht last year.

There will be more business synergy among the three main news content platforms (online, offline, on-ground).

The ratio of revenue generated from online news content platform is expected to increase from 36% last year to at least 50% this year, Somchai added.

The Nation Group also has plans to tackle accumulated losses totalling 2.97 billion baht as of year-end 2022 through several measures. The 85% increase in consolidated revenue year on year to 1.48 billion baht last year from 801 million baht in 2021, as well as the 381 million baht in profit (up 424%) earned by the company last year compared to the net loss of 118 million baht in 2021, are encouraging factors on which the group has based its optimistic financial projections.

The group's debt and interest obligations have steadily improved since 2017 when consolidated debt was as high as 3.05 billion baht and interest payments amounted to 169 million baht per year. The company's debt and interest burden dropped to 737 million baht and 43 million baht respectively in 2021, and to 212 million baht and 33 million baht respectively in 2022. The current annual interest expense stood at 14 million baht per year.

With the improved financial status and business outlook, Somchai believes shareholders will support the group's plans to lower the group’s accumulated debt.