Pay tv firm MultiChoice Group on Tuesday reported a 99% fall in half-year revenue and described the working surroundings as “extraordinarily hostile”.
The proprietor of DStv, whose pay-TV enterprise operates throughout 50 nations in sub-Saharan Africa, mentioned its efficiency was marred by weaker native currencies and constrained client spending, significantly in Nigeria, and excessive energy disruptions in Zambia.
MultiChoice mentioned its adjusted core headline earnings per share — its measure of the underlying efficiency — fell to 2c/share for the six months ended 30 September, down from R3.56/share a 12 months earlier.
General group income at MultiChoice fell by 10% to R25.4-billion on a reported foundation however grew by 4% on an natural foundation, which excludes the influence of overseas trade results and mergers and acquisitions.
MultiChoice mentioned subscriptions fell by 5% and 15%, respectively, in its South African and Remainder of Africa operations.
It mentioned revenue was additional hit by incremental investments in streaming platform Showmax, which MultiChoice is prioritising to battle off competitors from streaming giants Netflix, Amazon and Disney.
Learn: Large modifications coming to DStv Stream
“Stripping out Showmax, the group would have seen reported buying and selling revenue improve by 28% on an natural foundation,” mentioned Multichoice, whose shares have been down 0.3% at 2.12pm. — Sfundo Parakozov, (c) 2024 Reuters
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