NMG profit dips 35 percent on high costs, weak shilling

The Nation Media Group has suffered a 35.4 percent dip in net profit to Kes318.5 million for the period ended December 2022 on account of rising newsprint costs and weakening shilling.

The lose in value for the shilling against the dollar pushed up the cost of imported materials for the company in a year that NMG experienced 4.1 percent drop in revenues to Kes7.3 billion attributable to weak consumer spending as buyers grappled with drought, and higher commodity prices.

In the year, the regional media company says it posted revenue growth in its digital products and services which posted 25.3 percent uptick to 57.9 million users. Publications Business Daily, The East African, Taifa Leo as well as its Courier Business segments also expanded in the year under focus.

NMG board has, however, recommended the payment of a final dividend of Kes1.50 per share.