NMG to pay Sh1.50 dividend per share


Nation Media Group Chairman Wilfred Kiboro. FILE PHOTO | POOL

Nation Media Group (NMG) will pay a dividend of Sh1.50 per share as it banks on product innovation business transformation to diversify revenues for long-term sustainability.

The region’s leading news organisation will pay shareholders Sh285.4 million in an economic setting where inflation and the worst drought in 40 years have weakened consumer spending.

Its total comprehensive income hit Sh470 million in a year when the weakening of the shilling against the dollar and the doubling of newsprint prices hit earnings.

NMG has hinged its growth on a two-pronged approach that includes enhanced digital-first content and strengthening of the print and broadcast business.

“The Group continues to focus on product innovation across our channels and platforms as we embark on an accelerated phase of transforming the organisation into an audience-led, digital-first media company with a diverse portfolio of products to drive optimal monetisation of our expansive digital footprint,” said the board.

“The Group will continue to uphold its strong presence in commercially viable print and broadcast media by continuously offering unique and relevant content to our audiences.”

NMG is integrating its newsrooms and recasting its content strategy in response to audience needs.

Read: NMG partners with venture capital firm to grow digital content

Its cash reserves for the year to December stood at Sh3.75 billion, cementing the firm’s position among the cash-rich companies listed on the Nairobi Securities Exchange (NSE).

The media company is banking on its large online presence and a revamped digital plan that will focus on a subscription-first business model to grow sales.

Online presence

NMG is working to leverage its huge online presence to monetise audiences into sustainable revenue streams.

In the process, it is beefing up the business by pumping its digital products with a rich lineup of news, crosswords and podcasts, while making them stand out with multimedia and interactive elements using photos, graphics and videos.

Read: NMG eyes product innovation to boost revenue diversification

The media company’s reach of users grew 25.3 percent in the year under review to 57.9 million across its website and social media platforms.

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