JAKARTA. The performance of PT Surya Citra Media Tbk (SCMA) is expected to recover in the second half of 2020, after a drop in demand for television advertising since early March.
Christine Natasya, Analyst of Mirae Asset Sekuritas, said that the slow demand for advertising had already been felt by SCMA in the first quarter of this year. "Advertising revenue only grew by 3.2% YoY [Q1 2020], which we believe caused by the COVID-19 situation, which slowed economic growth," Natasya explained through her official report.
Meanwhile, SCMA management, said Natasya, was pessimistic about demand for advertising in the second quarter of this year. Because they believe that spending on advertisements on television will decline by around 33% to 35% YoY.
Therefore, SCMA's revenue growth in Q2 2020 will still slow. "Although the second quarter is usually the best quarter, in our opinion revenue growth will be better in the second half of the year," said Natasya in her report.
For information, SCMA booked net profit of Rp 311.5 billion in Q1 2020 with revenue of Rp 1.3 trillion. (KR/AR)