Underweight On Media Sector As Digital Ads Takes A Hit In 1H, Falling 43%
The omission of RTM channels, which contributed 21% of FTA TV adex in 1H 2024, and a data gap for Awesome TV, skewed results significantly. Adjusted for these, the adex decline would have been a milder 15% YoY.
Digital advertising (digidex) was the hardest hit, plunging 43% YoY, driven by a steep drop in YouTube webpage ads and shifting ad spend to untracked formats like mobile apps and smart TVs. YouTube's desktop adex fell to RM127.2 million in 2Q25—just a third of its 4Q23 peak.
Traditional media also saw mixed results. While Media Prima's TV3 and TV9 posted strong gains, The Star, Awesome TV, and Sin Chew Daily experienced double-digit declines.
Meanwhile, social media and live commerce are gaining momentum. Malaysians spend nearly 3 hours daily on social media, with growing advertiser interest in live stream sales via platforms like TikTok and Shopee. Digital media is projected to grow 7.4% annually, reaching RM3.1 billion by 2027.
CIMB revised its full-year adex forecast down to RM4.72 billion (-23% YoY), maintaining an 'UNDERWEIGHT' call on the media sector. The report warned that traditional players face structural challenges, urging radical transformation—including regional expansion and M&As—to remain relevant in a digital-first market
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
BusinessToday
42 minutes ago
- BusinessToday
13th MP Poised To Deliver Inclusive Growth And Future-Proof Economy
As the government prepares to table the 13th Malaysia Plan (13MP) in Parliament tomorrow, expectations are high for a blueprint that will deliver sustainable economic growth, equitable income distribution, and a higher quality of life for Malaysians. Anchored around three core themes—Quality and Sustainable Living, High and Equitable Income, and a Sustainable Environment—the plan is expected to build on the momentum of its predecessor while addressing emerging structural challenges. Building on 12MP: Steady Growth Amid External Headwinds Between 2021 and 2025, Malaysia recorded an average GDP growth of 5.1%, at the lower end of the 12MP's target. While recovery from the pandemic initially spurred strong activity, global trade volatility and weaker exports pulled down overall growth. Sectors like construction (+19.7%) and agriculture (+4.0%) outperformed, but mining contracted (-4.5%), while manufacturing and services fell short of targets. Still, strong labour market dynamics helped maintain momentum. Employment rose to nearly 17 million workers, and household spending has become a key growth driver, now accounting for over 60% of GDP—a significant jump from 45% in the mid-2000s. 13MP Outlook: Keeping Growth Above 4% Looking ahead, MBSB Research expects 13MP to target GDP growth of 4.0% to 5.0% over the next five years, supported by: Infrastructure projects like MRT3 and the Johor-Singapore Special Economic Zone (JS-SEZ), Higher public development spending (estimated at RM80 billion annually), Private sector investments and strategic FDIs. The government's commitment to long-term policy continuity is also clear. Flagship blueprints such as the New Industrial Master Plan (NIMP) 2030, National Energy Transition Roadmap (NETR), and National Semiconductor Strategy (NSS) are set to play central roles. Wage Growth, Productivity, and Labour Market Reforms A core pillar of 13MP is expected to be labour market transformation, with emphasis on raising the Compensation of Employees (COE) to 40% of GDP. In 2023, COE rose to 33.1% (from 32.2% during the pandemic slump), supported by robust job growth and wage policies like: Living wage initiatives by GLCs (setting minimum monthly pay at RM3,100), The Progressive Wage Policy (PWP) to drive corporate wage reforms. However, underemployment and skill mismatch remain challenges. As of Q1 2025, 1.95 million Malaysians were underemployed in skill-related jobs. While skilled employment reached 30.2%, the government aims to hit 35% by 2025, aligned with national productivity goals under NIMP. Regional Growth, Aging Population, and the Silver Economy A clear regional shift is underway. East Malaysia is gaining ground through new infrastructure and energy transition projects, while southern Johor stands to benefit from cross-border trade via the JS-SEZ and the RTS link. At the same time, Malaysia's aging population is becoming an economic focus. The 13MP is expected to advance the silver economy, promoting growth in long-term care, retirement housing, medical tourism, and age-related financial services. This transition is critical as Malaysia heads toward becoming an aged nation by 2030, with the total fertility rate now at 1.6. Strategic Focus on Food Security and Export Diversification Food security will be a strategic thrust, with emphasis on: Smart farming and agri-tech to boost domestic crop yields, Reducing import dependence, Engaging youth in agriculture entrepreneurship. Export diversification is also expected to feature prominently in the plan, as Malaysia seeks to reduce reliance on traditional markets. Penetrating ASEAN, the Middle East, and Africa—especially for halal products—will be vital to future-proof trade resilience. Fiscal Reform and Responsible Spending Despite external uncertainties, the government is expected to maintain development spending around RM80 billion annually—roughly 3.3% of GDP—without aggressive austerity measures. The Fiscal Responsibility Act 2023 (FRA2023) will guide commitments to: Reduce fiscal deficit to -3% of GDP by 2030, Keep government debt below 60% of GDP, Optimise public-private partnerships (PPP) to ease fiscal pressure. Bottom Line: The 13MP marks a crucial opportunity for Malaysia to recalibrate its economy for long-term resilience. With strategic interventions across labour reform, regional development, digital transformation, and fiscal sustainability, the plan could usher in a new chapter of inclusive and future-ready growth for the nation. Related
The Sun
2 hours ago
- The Sun
PM Anwar receives 13MP document for tabling in Parliament
KUALA LUMPUR: Prime Minister Datuk Seri Anwar Ibrahim today officially received the 13th Malaysia Plan (13MP) document, which he will table in the Dewan Rakyat tomorrow. The handover marks the completion of the preparation phase for the country's five-year development plan covering 2026 to 2030. Anwar, who also serves as Finance Minister, stated that the 13MP was designed as a comprehensive development plan focused on equitable growth for all Malaysians. 'Its preparation involved extensive engagement sessions with stakeholders across sectors, backgrounds, and regions, including state governments, to ensure the people's voices shape national planning,' he said in a Facebook post. The Prime Minister added that the MADANI Government welcomes constructive debate and proposals from MPs to refine the policies outlined in the plan. Earlier, Anwar received the document from Second Finance Minister Datuk Seri Amir Hamzah Azizan at Seri Perdana in Putrajaya. - Bernama
New Straits Times
2 hours ago
- New Straits Times
Anwar receives 13th Malaysia Plan document ahead of tabling in Dewan Rakyat
KUALA LUMPUR: Prime Minister Datuk Seri Anwar Ibrahim today received the official document for the 13th Malaysia Plan (13MP), which is scheduled to be tabled in the Dewan Rakyat tomorrow. Anwar said the handover marked the conclusion of the preparatory phase for the national five-year development plan, covering the period from 2026 to 2030. "The preparation of the 13MP involved extensive engagement sessions with a broad range of stakeholders across various sectors, backgrounds, and regions, including state governments, to ensure that the voices of the people are genuinely reflected in the nation's future planning. "The 13MP has been formulated as a comprehensive development plan with a focus on uplifting the dignity of all Malaysians in a just and equitable manner, leaving no group behind. "Insya-Allah, I will table the 13MP motion in the Dewan Rakyat tomorrow," he said in a Facebook post. Anwar added that the Madani government welcomed constructive debate and input from all Members of Parliament to further strengthen the policies and strategic direction outlined in the 13MP. On June 13, Anwar had said the 13MP would mark a turning point in the nation's efforts to address various economic challenges, including development and income disparities. He said that pressing challenges included development and income inequality, limited fiscal space, and the slow pace of structural economic transition. He added that Malaysia must become more resilient in facing global economic risks and uncertainties, while accelerating structural transformation and narrowing socio-economic development gaps.
