Astro has three million subscribers and market penetration of about 50% (

9 August 2012 10 h 38 min Comments Off

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Astro Malaysia Holdings Bhd is supported by about three million residential pay-TV users, making it the largest pay-TV operator in South-East Asia by subscriber base.

According to its draft prospectus, Astro has a market penetration of about 50% of Malaysian TV households, of which it has a market share of 99% in the residential pay-TV market in 2011.

The company surpassed its one million residential pay-TV subscriber mark in 2003, and the figure hit two million in 2007.

“Our leading position is reflected by our 156 TV channels as at June 30, of which 68 are Astro-created and branded channels. “We distribute content to our customers via broadcast and on-demand programmes through our Direct-To-Home satellite TV, IPTV and Over-the-Top platforms, making our TV offerings increasingly platform agnostic in reaching our customers,” it said.

In the financial year ended Jan 31, the company produced about 8,000 hours of TV content and have produced or commissioned for production over 40,000 hours of TV content as at June 22, being the last practical date for certain information to be obtained and disclosed in the draft prospectus.

“Based on our existing position, we believe we are well positioned to capitalise on the potential growth of the Malaysian economy and a young population demography that is open to the adoption of new technologies,” it said.

This was based on the Independent Market Research (IMR) Report that forecast Malaysia’s nominal gross domestic product to grow at a compounded annual growth rate (CAGR) of 8% from 2011 to 2016, and the expected growth of Malaysian average monthly household income at a CAGR of 5.3% from 2011 to 2016.

“We believe this economic growth will contribute to higher consumer spending in media, expansion of the advertising market and an increase in residential pay-TV subscriber penetration from 50% of Malaysian TV households in 2011 to 63% in 2014,” it said.

In its draft prospectus, Astro mentioned several strategies to maintain its leadership in the consumer media entertainment sector in Malaysia, notably to leverage on new technologies to develop products that enhance reach and service proposition.

“We will continue to capitalise on the emergence of new technologies and develop new products to expand our customer reach and enhance our service proposition to consumers,” it said, along with its plans to pursue a targeted acquisition strategy to grow its subscriber base.

Astro’s radio comprises nine commercial stations available over FM, DTH satellite TV, IPTV and mobile platforms as well as the Internet, which includes the highest-rated radio stations in Malay, Chinese, Indian and English languages in terms of listenership. In April, the company’s radio operations recorded about 13 million weekly listeners, capturing 52% share of listenership in Malaysia. It also commands 53% share of the radio advertising expenditure for the three months ended April 30.

Source: (09/08/2012)

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