Over the last few years, MultiChoice Group has faced significant challenges, including foreign exchange volatility and tough macroeconomic conditions, which impacted profits and subscriber growth in the first half of FY25.
Despite this, the Group has made progress in adapting to the evolving media landscape and positioning itself for future growth.
Key developments
- Permanent savings of ZAR1.3 billion (KES 21.5 billion) were achieved in six months, with a full-year target of ZAR2.5 billion (kes 18 billion).
- Showmax’s customer base grew 50% year-on-year, underscoring its role as a leader in sub-Saharan Africa’s streaming market. Investments in streaming increased by ZAR1.6 billion to support this growth.
- New products delivered robust revenue growth: DStv Stream (+71%), DStv Internet (+85%), and KingMakers (+53% in Nigerian revenue).
- A strong liquidity position of ZAR10 billion (KES 71.9 billion) underpins operations, with ZAR4.4 billion (KES 31.6 billion) in undrawn facilities available.
The Group’s subscriber base experienced an 11% year-on-year decline, reflecting macroeconomic pressures. However, revenues rose 4% organically to ZAR25.4 billion, driven by price adjustments and growth in new services. Foreign exchange losses and Showmax investments trimmed trading profit to ZAR2.7 billion.
SuperSport broadcast over 10,000 live events, including the Paris 2024 Olympics and ICC T20 World Cup, while expanding its SuperSport Schools app to over 1 million users.
MultiChoice wants to strengthen profitability in South Africa, return its Rest of Africa business to profitability, and establish Showmax as the continent’s premier streaming platform. It also seeks to scale KingMakers, Moment, and DStv Insurance as part of its diversified growth strategy.
