New Vision to launch digital version

By Samuel Sanya

Uganda’s leading daily, the New Vision newspaper, will launch a digital version on Friday, Robert Kabushenga, the Vision Group chief executive officer, has revealed.

Kabushenga said the innovation will enable Ugandans, even those in the diaspora, to access good journalism at an affordable price.

He was speaking at the Uganda Securities Exchange (USE) offices during a Facts Behind

The Figures media briefing, where he explained the company’s 2014 financial results.

“We are looking at distributing the newspaper through the Internet for Ugandans with tablets, smartphones and other gadgets. We have developed a payment system that will accept payments through mobile money, and master card for Ugandans in the diaspora,” Kabushenga said.

“We are working on an app that will enable readers to buy the digital version through deductions on their bank account. Using the digital version, you can read the paper in the comfort of your home,” he added.

Kabushenga said though electronic media is growing faster than print media, there is still a market for newspapers that provide analytical and authoritative journalism that is relevant.

Improvement in group results Vision Group’s financial results, which were audited by PKF Uganda Certified Public Accountants on behalf of the Auditor General, indicate a 70% growth in profit after tax and 68% growth in earning per share.

Kabushenga explained that the strong financial results are due to the company’s professional staff who understand what the market wants.

He further revealed that Vision Group will acquire one or two more media interests this financial year.

He said the New Vision has set up a dedicated website — www.elections. co.ug — to provide in-depth, analytical and balanced coverage of the 2016 presidential elections.

Gervase Ndyanabo, the company secretary/chief operations officer, said that group’s revenues hit sh86.84b at the end of June 2015, from sh82.96b at the end of June 2014. Profit for the year was at sh5.25b, up from sh3.1b during the same period. He pointed out that the cost of sales marginally increased to sh63b, from sh62.6b, after the introduction of import duty on raw materials used in the production process.

Group shareholders will meet on November 19, at 3:00pm at the New Vision in Industrial Area, Kampala, to consider proposals for a final dividend of sh50 per share.

This is an improvement from a dividend of sh35 per share the year before. Growth was registered in television, radios and circulation of print products.
“This year has been much better than last year. We did a strict management of costs. We have been investing in electronic media, but now, we have reached a level where costs are not going up at the same rate as returns,” Ndyanabo said.

“Though revenues from print media have not gone down, our dependence on print has gone down as revenues from electronic media went up. We believe that electronic media is the way to go,” he added.

Susan Nsibirwa, the Vision Group head of marketing and communications, said Uganda’s media market is becoming more segmented. She said Vision Group’s dominance on several media platforms gives the company a competitive advantage.

Zubair Musoke, the group’s chief finance officer, noted that the switch from analogue to digital television in Kampala wiped sh1b off company revenues. He warned that New Vision newspaper’s cover price could go up this year, if the recent shilling depreciation continues.

Paul Bwiso, the USE chief executive officer, pointed out that the Group’s shares had grown in value to sh620 per share, during the year, from sh590 per share. Vision Group trades as the New Vision Printing and Publishing Company on the USE.

Bwiso said the electronic trading system on the USE has seen the amount of shares traded reach sh145b since January 2015, with Vision Group accounting for 1.4 million shares worth sh867m.

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