Yeah1 Group announces strong full year 2018 results with strong growth of 97.3% in revenue from 2017
Table: Summary of Q4 and 2018 Full Year Results (USD mn)
Indicator | Q4/2018 | Q4/2017 | % change | FY2018 | FY2017 | % change |
Revenue | 26.76 | 14.98 | 78.6% | 71.17 | 36.07 | 97.3% |
Gross Profit | 11.24 | 4.42 | 154.1% | 24.42 | 10.60 | 130.4% |
EBITDA | 2.93 | 2.20 | 53.7% | 11.52 | 6.22 | 85.4% |
NPAT | 2.10 | 1.45 | 45.1% | 7.73 | 3.53 | 118.8% |
Source: FS, Yeah1 Group
Note: Currency was converted at VND 23,300 per USD
Yeah1’s digital YouTube and publishing business both accelerated their growth in 2018, growing in aggregate 93.1% from the previous full year to represent 55.6% of revenue and 88.6% profit for 2018. The digital business is also surpassing traditional pillar in terms of business growth. It is expected following the recent acquisition of ScaleLab and off-shore expansion into other regional markets like Philippines and Indonesia that digital will account for greater than 80% over the next 12 months.
Graph 1: FY2018 Net Revenue Split (%) | Graph 2: FY2018 Net Profit Split (%) | |
Source: Yeah1 Group | Source: Yeah1 Group |
For digital business, the strong revenue growth are mostly driven by (1) increased channel/publisher recruitment and optimization to attract higher views from higher CPM countries; (2) focused investment and licensing of premium content deals for monetization as well as investment in original content/self-owned media assets (websites, Facebook, YouTube) to boost viewership and subscribers and (3) solidified strong working relationships with Facebook & Google in expanding product offering and services across key markets.
The traditional pillar, which includes TV segment, movie business and TV buying agency, had a strong turnaround in 2018 due to strong brand and agency bookings resulting from rebuilding the channel portfolio with increase in investment to support channel ratings and investment in original TV Content. The key focus for 2019 is to continue enhancing channel attractiveness and stickiness (i.e. launching new reality shows, licensing content from well-known global producers) and acquiring/winning the larger channels inventory for TV media buying agency.
The financial statements are updated on the company website: https://yeah1group.com/
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About Yeah1 Group
Founded in 2006, Yeah1 Group has enjoyed phenomenal success across verticals and media channels to become a top-ranked multi-channel network in Asia. The company is now aggressively expanding into the region and beyond for its digital arm. Yeah1 operates a multitude of successful divisions, leveraging on its massive community to build on its movie, television, digital and publishing business.
Yeah1 Group is the first public media company in Vietnam listed on the Ho Chi Minh Stock Exchange since June 2018. YEG is Vietnam’s largest multi-channel media ecosystem, operating TV channels, movie studios, digital YouTube networks, as well as strong capabilities in digital publishing. (https://yeah1group.com/)