The Nation Media Group (NMG) has announced a 94 percent drop in profits for the year ended December 31, 2020 to Ksh48 million from Ksh856 million in 2019.
The revenue flow for NMG decreased to Ksh6.81 billion from Ksh9.05 billion in 2019 due to Covid-19 restrictions announced by the government in March 2020.
The company, which recorded notable online subscriptions for nation.africa, is now banking on digital revenue to get back on its feet. The company recorded 50,000 subscriptions in April 2021.
“Going forward, the Group will focus on building on the early gains from its digital transformation initiatives through further investment in our journalism and diversification of our digital products offerings while upholding its strong position in the print and broadcast media sectors,” said NMG in a statement.
The value of the firm’s total assets has dropped to Ksh11.82 billion in the year under review from Ksh12.1 billion at the end of 2019.
On the other hand, its total liabilities also fell to Ksh3.89 billion from Ksh 4.3 billion in 2019.
The share price for NMG at the Nairobi Stock Exchange (NSE) has dropped to a low of Ksh13, even as the company announces plans to buy back a 10 percent stake that is listed at NSE.