i-News Has Potential to Generate Rp 300 billion in 2015

JAKARTA - The new television station owned by PT Media Nusantara Citra Tbk (MNCN), iNewsTV, is targeted to contribute this year to MNCN. Hary Tanoesoedibjo, CEO of MNC Group said the company had revenue of Rp 21 billion in April and Rp 26 billion in May from iNews TV.

iNews has reached market share in Bandung and Medan. In June 2015, iNewsTV is expected to reach Rp 30 billion revenues and Rp 300 billion at the end of 2015.

In May, the market share of viewers from RCTI, MNC TV and Global TV increased by 35.6% from 26.8% in May 2014. "So far, the ad-revenue in the second quarter of 2015 has a positive trend and we are seeing a significant increase from the first quarter of 2015," said Hary on Tuesday (9/6).

This year, MNCN prepared a capital expenditure of Rp 2 trillion. Finance Director of MNCN, Faisal Dharma said that it will be used for the construction of the studio.

A total of 12 studios will be built in Kebon Jeruk Jakarta. Currently, four studios have been completed and eight studios are expected to be operational this year. While in Kebon Sirih, MNC build eight studios which are also targeted to be completed by the end of 2015.

MNCN targets to increase revenue by 10% year on year (yoy). The Company is optimistic because there is the additional revenue from the increase in advertising costs. Until the first quarter of 2015, MNCN revenue raised only 1.2% yoy to Rp 1.5 trillion.

While its net profit decreased by 26.7% to Rp 285.16 billion. MNCN shares closed down 3.16% to a level of Rp 1,840 per share on Tuesday (9/6).

Source : www.kontan.co.id

(Toyib Abdullah / Gaby Oksavira)