Under the circumstances, theedgemarkets.com reported, AmInvestment has maintained its “Neutral” rating on the media sector over the next 12 months.

It said the sector’s prospects in 2018 were tepid as digitalisation initiatives undertaken by the media companies remained ineffectual in cushioning the decline in adex rates.

In a note, the research house said the imminent analogue-switch-off in June 2018 created uncertainty for TV players, especially in the free-to-air segment.

“We reckon that consumer sentiment will remain weak in 2018 against the backdrop of Malaysia’s high household debt-to-income ratio.

“Data from the Malaysian Institute of Economic Research show that the Consumer Sentiment Index (CSI) has recovered from 70 in 4QCY16 (fourth quarter of the calendar year) to 77 in 3QCY17, but remains below the optimism threshold (100). We believe the recovery is transitory given a lacklustre job outlook and wages growth,” it said.

However, it said, advertisement revenue could increase during the periods when the Winter Olympics (February) and FIFA World Cup (June-July) would be held.