Kuala Lumpur, 28 February 2022 – Main Market-listed leading provider of outdoor advertising services, Seni Jaya Corporation Berhad (“Seni Jaya” or the “Group”) (“盛艺集团”) has today announced its fourth quarter (“4QFY21”) and full year financial results for the period ended 31 December 2021 (“FY21”).
Revenue came in at RM4.3 million in 4QFY21, which was more than a twofold year-on-year increase from RM1.7 million reported in 4QFY20. Correspondingly, the Group returned to the black after eight quarters with a profit after tax and non-controlling interest (“net profit”) of RM0.2 million, a stark improvement from the net loss of RM3.2 million recorded a year ago.
Chief Executive Officer (“CEO”) of Seni Jaya, Mr. Cheah See Heong (“Jeff Cheah”) (“谢诗峰”) said, “We are delighted to have returned to the black this quarter after two years. The turnaround was mainly attributed to the ongoing three-year business transformation plan which began in mid-2021 under the new management team. Through synergistic acquisitions and strategic collaborations, we have expanded both the number and the variety of our out-of-home (“OOH”) advertising assets significantly across the country. The re-opening of our economy since October 2021 was another catalyst that pushed demand up for our solutions as people are going outdoor again. As a result, sales have surged in tandem as witnessed in this quarter’s top line performance.”
“We continue to make great strides recently in solidifying our position as one of the top players in the OOH advertising space. Efforts include the addition of digital OOH (“DOOH”) assets through acquisitions and asset upgrades. We are doing so because DOOH is becoming more in-demand among advertisers. Through our proprietary ENOMAD software, we are taking DOOH a step further by incorporating programmatic and mobility features. By doing so, we are differentiating ourselves from our competitors.”
To recap, the Group launched ENOMAD, Malaysia’s first mobile programmatic digital OOH (“pDOOH”) services in January 2022 in collaboration with Carsome. The cloud-powered platform is connected to digital signages that are mounted on e-hailing car tops. ENOMAD utilizes triggers such as weather, time, and geography to select the best moment to display a particular advertisement. In the same month, it also announced the proposed acquisition of three OOH advertising companies, a move that will significantly enhance Seni Jaya’s premium billboard segment and add further comprehensiveness to its offerings.
Commenting on the industry landscape, Jeff Cheah added, “Despite the rise of digital marketing in the past decade, OOH advertising remains as relevant as ever today and will stay the status quo for the foreseeable future. Marketing campaigns run by big brands use both online and outdoor mediums to maximise effectiveness. Thus, they are complementary rather than competing.”
“Moving forward, we will remain proactive in expanding our business. Currently, the Group is participating in a few prominent concession tenders, as well as exploring other potential acquisition and collaboration opportunities. Looking at the recovery of our economy, we believe the Gross Domestic Product or GDP growth rate is set to rebound further in 2022 as COVID-19 restrictions ease. Coupled with our revitalised business model, we are confident of sustaining the turnaround momentum of Seni Jaya in FY22 and grow further from there.”
For its full year results, the Group reported a revenue of RM8.7 million in FY21, broadly similar to the RM8.8 million registered in FY20. Meanwhile, it reported a net loss of RM5.7 million for the year versus a net loss of RM5.3 million in FY20.