TV broadcast (0511, TVB) will have high-level personnel!
The latest announcement is that Sing Tao's (1105) CEO and senior media person Xiao Shihe will "pass the file" as the general manager (business operations), and the senior artist Zeng Zhiwei, who returned to TVB in January this year, has stepped up to the next level and promoted to the general manager. Program content Operation ﹚.
Over the past six months, TVB’s top management has undergone many changes, and there is a strong trend of reform. It is not difficult to find outside that TVB is working hard to make changes from the two frontiers.
Zeng Zhiwei will be fully responsible for the main content operations of TVB, including the production of art, co-production dramas, and music.
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TVB's personnel deployment this time obviously wants to increase its commercial and content offensive.
According to the latest arrangement, Xiao Shihe will be fully responsible for the management of the TVB TV market and business operations after "passing the file" to promote the improvement of the cross-platform synergy and efficiency of TVB TV.
As for Zeng Zhiwei, he will be fully responsible for the main content operations of TVB, including the production of variety shows, co-produced dramas and music, as well as program procurement and planning.
The high-level "buried" one after another will undoubtedly bring a "new atmosphere" to TVB, but the traditional TV media is declining, and TVB is also facing many challenges while reforming.
In fact, TVB, which has lost money for three consecutive years, continued to "see red" in the first half of this year, and its revenue rose slightly less than 2% year-on-year. However, the costs involved remained high and it still lost 284 million yuan, which is equivalent to the loss of last year. .
TVB has recently launched a variety of variety shows, such as "Sound Dream Legend", "Happy Variety Show", "Super Variety Show" and other variety shows, and the external response has been good.
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First, increase advertising revenue
It is not difficult to find from the outside that TVB is working hard to make changes from the two frontiers.
First, of course, to improve advertising revenue.
As a traditional TV media, TVB still relies heavily on advertising revenue. Of the total revenue of 1.248 billion yuan in the first half of this year, Hong Kong's TV broadcasting business accounted for nearly half, about 600 million yuan, of which the vast majority was advertising revenue, reaching 460 million yuan. Yuan, and the rest is income from joint production programs.
Looking at the data, TVB ratings have fallen in recent years, and the associated advertising revenue has been declining year by year since 2014. Last year, the epidemic dropped by 54% year-on-year.
In the first half of this year, TVB advertising revenue rose 31% year-on-year to 460 million yuan, but it was mainly benefited by the low base effect caused by the outbreak of the epidemic last year. The amount was still down 59% from the 1.136 billion yuan in the same period in 2019.
The big environment is not enough, TVB is also facing the rapid emergence of ViuTv, the latter successfully touted the two men's groups MIRROR and ERROR. In the first half of the year, advertising revenue surged 66% to 188 million yuan.
In view of this, the TV broadcast management team also took the position in the first half of the year. Zeng Zhiwei and Wang Zulan Huichao served as the deputy general manager and chief creative officer, respectively, and Zheng Shijun (C Jun) also served as the creative director of Wireless J2. Hope Start advertising revenue by increasing ratings.
It is not difficult for the audience to find that TVB has recently launched variety shows, such as "Sound Dream Legend", "Happy Variety Show", "Super Variety Show" and other variety shows, and the external response has been good.
TVB Ligu's e-commerce business aims to open up new "water sources" in addition to advertising revenue.
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Battlefront 2: Develop e-commerce business
In addition to ratings, another battlefield is the e-commerce business.
In recent years, TV broadcasting has stepped up its business diversification. In 2016, it launched myTV SUPER to attack the OTT platform, and then launched Big Big Shop in 2018, imitating Hong Kong TV to open HKTVmall, and officially switched to e-commerce.
myTV SUPER and Big Big Shop (Big Big Channel and e-commerce business) have approximately 10.2 million and 1 million users, respectively. Last year they recorded profits of RMB 11 million and RMB 53 million, respectively. The "help" advertising revenue declined.
So far, TVB has partnered with Shaw Brothers to spend 200 million yuan to acquire about 75% of the equity in the online shopping platform "Story". The company estimates that the scale of its e-commerce business will be expanded by more than four times.
TVB stock price is low, but Wu Lixian does not recommend retail investors to make a bottom.
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Wu Lixian: Should not rebound
Wu Lixian, a strategist at Everbright Sun Hung Kai Securities, said that TVB
's
TV content and richness have recently improved, and its reputation has begun to improve, but from an investment perspective, there is still a lot of uncertainty.
He said that
TVB's
revenue has fallen in recent years and continued to lose money. The core reason is that advertising revenue has decreased significantly. Firstly, it is related to the decline in ratings. Secondly, under the epidemic situation, customs clearance is indefinite. It is a wise move to improve the quality of the program and the audience’s acceptance, but it is hard to say whether it can vigorously increase the audience ratings, thereby driving advertising revenue.
At the same time, Wu Lixian believes that TVB's e-commerce business revenue growth last year was satisfactory, mainly due to the outbreak of the epidemic. However, as the epidemic eased, the growth of many e-commerce platforms also slowed down. It is expected that e-commerce will hardly become TVB's long-term growth point.
Asked about the investment value, TVB stock price is low, but Wu Lixian does not recommend retail investors to make a bottom. The company's operating figures are still not ideal, and market competition is intensifying, so it is not suitable for Bo to rebound.
TVB appoints Sing Tao CEO Xiao Shihe to be general manager Zeng Zhiwei promoted