Overall picture

The Nielsen Media Research Thailand Limited report states that the advertising market in the year 2003 showed a growth of more than 17% year on year. Money spent in prime media advertising, such as radio and television, showed a slower growth compared to that of the total market. On the contrary, advertising in newspapers, magazines and cinemas, revealed a bigger increase of 20%, 25% and 50% respectively. In February 2003, The Post Publishing Plc launched a Thai-language business daily called Post Today, and revenue from both advertising and publication sales showed impressive growth, especially in the second half of the year. Bangkok Post, the company's English-language daily and respected flagship, also had a good year in 2003.

Net sales

Total 2003 revenue for the company was recorded at Baht 1,491 million, exceeding 2002 revenue figures by Baht 365 million or 32%. Part of the main increase in revenue came from advertising sales and publication of Post Today. Apart from Post Today, other businesses also showed satisfactory growth with increased revenue of Baht 158 million or 15%.

Net earnings

In 2003, net profit after tax was Baht 103.6 million, approximately the same as the 2002 profit figure of Baht 104 million. Included in the 2003 profit & loss account were costs for Post Today's marketing and promotions, necessary to secure readership from newsstands and subscription sales.

Operating costs

The cost of goods sold was Baht 868 million in 2003, a sharp increase of Baht 157 million from the previous year. The increase was mainly due to the production of the new Thai-language business daily Post Today, with the cost of newsprint and editorial staff amounting to approximately Baht 75 million.

Liquidity

In 2003, accounts receivable and inventories went up to Baht 105 million and Baht 28 million respectively. The increase in accounts receivable was a result of increased revenue of both previously existing businesses and Post Today. On the inventories side, the increase was due to additional stock of newsprint that were kept for both papers, for at least four months.

With no debts at the end of 2003, the company held some cash surplus and investments in various high-yield funds totaling Baht 180 million. Despite the increased working capital, the company managed to maintain good liquidity. In 2003, capital expenditure was approximately Baht 70 million, used mainly on computer and networking, and newspaper-insertion equipment.

On 9 December 2003, the company paid an interim dividend of Baht 30 million or Baht 0.60 per share. A final dividend of another Baht 70 million, or Baht 1.40 per share, is currently being proposed by the Board. If approved by the shareholders at the Annual General Meeting, total dividends for the whole year would amount to Baht 100 million or Baht 2.00 per share.