MACO announced 1Q 2020/2021 performance impacted by COVID-19

MACO announced the performance in 1Q 2020/21 (April – June 2020) with revenue from business operation at THB 512mn, decreased by 25.9% YoY, mainly resulted from great impact on COVID-19 as well as the announcement of Emergency Act from the government led to a slow demand in advertising spending from advertisers and marketers. In consequence, advertising business both in domestic and international markets faced negative impact. 

Mr. Phoon Chong Kit, Chairman of the Board and CEO of Master Ad Public Company Limited or MACO, leader of the Outdoor advertising media network disclosed that in this quarter, the decreasing of revenue resulting from the pandemic of COVID-19 situation started from the beginning of 2020, which has led to the enforcement of strict measures of the Government; such as, curfew, campaign to stay home including limitation to domestic and international travelling.   Consequently, most of business activities were temporarily delayed.  Due to the reducing of viewers of the outdoor advertising media by the said impact resulting in the decreasing of revenue from Advertising Business by 45.0% to THB 144mn YoY. Revenue from System Integration services decreased by 14.2% YoY to THB 368mn. In this quarter, the Company’s net loss was at THB 179mn.
 

The Pandemic of COVID-19 still affects the world economic; it is expected that the rest of year 2020, the economic activities would be under pressure. The Bank of Thailand also revised the GDP growth in 2020 down to -8.1% from previous forecast at -5.3%. Furthermore, Malaysia and Indonesia, our main international markets, have been anticipated that their economic growth would shrink to -6.2% and -4.4%, respectively.

For MACO, we anticipated that the Company’s performance would be negatively affected by the aforementioned crisis.  However, we still maintain business strength by ensuring that MACO has sufficient cash flow and liquidity. When the situation recovers, the Company will build on strong fundamentals and resume on international growth to become the Out-of-Home Media leader in ASEAN as originally planned. CEO added.