RHM revenues down after altering strategy

Resource Holding Management, a media firm focused on China and Malaysia, saw revenues drop in the first half after it decided to go after higher margin clients.

Resource Holding Management, a media firm focused on China and Malaysia, saw revenues drop in the first half after it decided to go after higher margin clients.

Revenue in the six months to the end of June fell by 28% to 20m Malaysian ringgits (RM), around £4m.

Subscribe to MoneyWeek

Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE

Get 6 issues free
https://cdn.mos.cms.futurecdn.net/flexiimages/mw70aro6gl1676370748.jpg

Sign up to Money Morning

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Sign up

Chairman, Datuk Oh Chong Peng, said during the period his firm had focused on profitability by offering more, high margin advertising products and services such as out-of-home and digital media.

"This strategy also required us to offer less of the conventional media services and products, where margins tend to be very low yet contribute significantly to the top-line," he said.

"As a result, the group saw an expected decrease in revenue, though gross profit and profit before tax levels are at par with the first half of 2011."

MoneyWeek

MoneyWeek is written by a team of experienced and award-winning journalists, plus expert columnists. As well as daily digital news and features, MoneyWeek also publishes a weekly magazine, covering investing and personal finance. From share tips, pensions, gold to practical investment tips - we provide a round-up to help you make money and keep it.