Standard Group Plc Posted a loss before tax of Kes 434 million during the financial period ended 31st December 2020, a 36% improvement from the Kes 684 million posted during the same period in 2019.
The group attributed the results to the economic hardship brought about by the onset of the COVID-19 pandemic, which resulted in the government enforcing lockdowns and curfews to contain the spread of the coronavirus. The media industry was adversely affected as the amount of money people spent in the print media reduced drastically as a response to the pandemic.
Standard group recorded a decline in revenue to Kes 2.9 billion a 29% decline from the Kes 4.1 billion that was recorded during the financial year in 2019. The decline was attributed to the difficult environment brought about by the onset of the COVID-19 pandemic.
Consequently, the group stated they put in place stringent measures to cut cost resulting in a 31% decline in the total operating cost from Kes 4.69 billion in 2019 to Kes 3.25 billion reported in 2020. The decline was driven by a reduction in the direct cost and overheads by 44% and 25% respectively.
Loss after tax stood at Kes 301 million during the financial period ended 31st December 2020, a 37% improvement from the loss of Kes 484 million posted in 2019.
Total assets in the group stood at Kes 4.05 billion a slight decline from the Kes 4.20 billion that was recorded during the previous year.
Standard Group Plc Outlook
The group stated they will continue investing in the growth of the digital platforms, products and revenues while strengthening print and broadcast platforms. Currently, standard group has launched the first converged newsroom in the country, which aims to focus on better content and a digital-first approach.
They further expressed confidence in 2021, saying they will deliver the right product to their customers as they work toward remaining profitable.
The board of directors did not recommend the payment of dividend for the financial period ended 31st December 2020.