KUALA LUMPUR / HONG KONG, August 25, 2025 – Media Chinese International Limited (“Media Chinese” or “the Group”) has reported a decline in turnover and a wider pre-tax loss for the first quarter ended 30 June 2025, underscoring the continued strain on its publishing and advertising businesses despite resilience in its travel operations.
The Group’s turnover slipped 1.1% year-on-year to US$42.9 million, compared with US$43.3 million in the same quarter last year, as advertising expenditure across its operating markets remained weak. This pressured earnings, with loss before income tax widening to US$2.0 million from US$877,000 previously. The Group also reported a larger EBITDA loss of US$1.5 million, compared with a near break-even loss of US$93,000 in the prior year quarter.
Foreign exchange movements had a mixed impact. A stronger Malaysian Ringgit and weaker Canadian dollar against the US dollar provided a net positive effect of about US$1.2 million on turnover but slightly increased losses by around US$70,000.
Publishing and Printing Struggles
Publishing and printing, the Group’s largest segment, saw revenue fall 8.4% to US$23.2 million, down from US$25.3 million a year earlier. Loss before tax for the segment widened to US$2.9 million, compared to US$1.9 million previously.
In Malaysia, turnover contracted 4.6% year-on-year to US$13.9 million, impacted by subdued advertising demand, shrinking circulation, and a challenging domestic economic environment. Although lower newsprint costs and reduced depreciation expenses offered some relief, the segment swung from a pre-tax profit of US$195,000 last year to a loss of US$894,000 this quarter.
Nevertheless, the Group highlighted its efforts to innovate, citing events such as the “Gen AI for Marketing & Sales Workshop” held in May 2025, which attracted strong participation. The event focused on practical applications of AI tools, including ChatGPT and Meta AI, reflecting the Group’s push to diversify revenue streams.
In Hong Kong and Taiwan, turnover fell 13.3% to US$8.0 million, while losses before tax increased to US$1.27 million. Weak consumer sentiment, particularly in Hong Kong, hurt the performance of JUMP, its recruitment advertising arm, which had historically been a strong contributor. However, the Group’s education business continued to show promise, with well-attended expos in Hong Kong and Shenzhen.
In North America, turnover dropped 13.8% to US$1.3 million, mainly due to ongoing weakness in printed media and a sluggish economy. Despite the revenue decline, pre-tax losses narrowed by 19.5% to US$770,000, thanks to cost control measures.
Travel Segment: Growth with Higher Costs
Contrasting with the publishing headwinds, the travel business posted 9.1% turnover growth, rising to US$19.7 million from US$18.0 million a year earlier. Strong demand for luxury CEO tours in Asia, newly introduced European CEO cruise trips, and a rebound in travel to Australia, New Zealand, and North America all contributed to the expansion. Inbound tours to the U.S. and Canada also gained momentum.
However, the segment’s profit before tax slipped to US$1.04 million, down 10.2% from US$1.16 million last year, as higher labour and rental costs eroded margins despite the top-line improvement.
Outlook
Group CEO Francis Tiong acknowledged the difficult global operating landscape, citing ongoing geopolitical tensions, rising operational costs, and the uncertainty of U.S. tariff policies. He noted that advertising expenditure remains well below pre-pandemic levels, placing sustained pressure on publishing revenues.
“The first half of FY2025/2026 will likely remain challenging, but interest rate cuts and a more stable global trade environment in the latter part of the year could provide some relief,” Tiong said. He added that the Group would continue to adjust strategies, monitor market shifts, and improve operational efficiency while pursuing cost savings to navigate through the turbulence.
