Grammy projects H2 flat growth

       GMM Grammy Plc, the country's largest entertainment company, says its secondhalf revenue and profit will remain on par with the same period last year due to the weak economy and strong competition.
       Strong performance was difficult to achieve this year due to many negative factors. Renewed political unrest could result in Grammy's 2009 figures dipping below last year's, said director Sumeth Damrongchaitham.
       Grammy reported a net profit of 470 million baht on revenue of 4.1 billion baht in the second half of 2008. Its 2009 first-half net profit was 323 million baht with revenue of 3.97 billion, compared to a net profit of 357 million baht and revenue of 3.6 billion in the same period last year.
       "We see an increase in revenue in the second half but profit should remain on par with last year. We just want to keep building even if there is no profit. This results from high competition in the market," he said.
       In the second quarter Grammy generated profit of 208 million baht on revenue of 2 billion, compared with profit of 257 million on revenue of 2 billion in the same period a year earlier.
       Only its media business posted growth,increasing by 12% to 897 million baht.Movies declined furthest, dropping by 52% to 36 million baht, while music fell by 5% to 841 million baht.
       "Event and digital businesses will be key drivers pushing Grammy to achieve its target this year," he said.
       Events had the media segment's highest growth, rising by 65% to 380 million baht in the second quarter, while TV increased by 6% to 443 million baht,radio dropped by 25% to 139 million baht, and publishing declined by 11%to 55 million baht.
       Grammy organised major events for both the private and public sectors.
       The firm says its digital business exhibits strong growth potential from subscriptions for call melodies and ringtones for True, AIS and DTAC customers.
       Grammy also plans to launch seven albums and at least 10 show-business products in the rest of the year. It expects second-half movie revenues to be higher than in the first six months as it will introduce three new films. The firm also expects revenue of about 100 million baht from satellite TV by year-end.
       Grammy shares closed yesterday on the SET unchanged at 14 baht, in trade worth 1.03 million baht.