Resilient operational performance and significant progress in expanding service offering

With a 38-year track record, we entertain 21.7 million households of varying income levels across the African content. We create our own local general entertainment content, invest in local sports codes and leagues and secure rights to leading international and sports content from around the world, which we deliver anywhere, any time and on any device through our satellite broadcast (DStv), digital terrestrial broadcast (GOtv) and OTT streaming (Showmax, DStv Stream) platforms. We aim to continue to grow our linear video entertainment business while step changing our ambition in the video streaming space with our partnership with Comcast entities NBCUniversal, Sky and Peacock. We are also focused on expanding our ecosystem beyond video entertainment by selectively investing in new growth opportunities, including our 49% investment in sports-betting and digital entertainment company KingMakers, and our 26% investment in the Moment joint venture in fintech and payments. Our technology company, Irdeto, protects platforms and applications for video entertainment, gaming, connected transport and other connected industries.

Key facts and figures

African map of MCG subscribers
38 years of historyone of the first pay-TV services to launch outside the USA
50 marketscomprising 1.2bn people(1)
21.7m subscribersat Sep '23out of an addressable market of 54m households 

3 operating segments

Revenue contribution by operating segment: 1H FY24

Revenue contribution by operating segment: 1H FY24

Robust financials and flexible balance sheet (1H FY24)

  • R28.3bnRevenue -1% growth (+4% organic)
  • R5.0bnTrading profit 18% decline (+10% organic)
  • R1.1bnFree cash flow 48% decline due to prepayments
  • R1.9bnCore headline earnings 2% growth
  • R5.6bnCash on handPlus R5bn in undrawn facilities 
  • 1.30x Gearing Plus R4.0bn undrawn headroom in term loan

Solid growth

Subscriber base (90-day active, millions)

Subscriber base (90-day active, millions)

Investment case

  • We know our subscribers and their video entertainment needs

    We have a proud history and legacy

    Since launching our first traditional linear pay-TV service in 1985, we have provided a window into the world for our viewers and created, developed and shared their stories.

    From our first broadcast 37 years ago, MultiChoice now reaches 21.8m subscribers across multiple platforms with numerous products and services. Our technology business, Irdeto, has been around for even longer, solving security problems for its clients for the past 52 years.

  • We have a solid foundation to support shareholder returns

    We see significant opportunity in sub-Saharan Africa

    Sub-Saharan Africa is home to over 1bn people(1), and we have an unrivalled footprint across 50 markets.

    As electrification, connectivity and digital banking increase, and a growing, urbanising middle class enjoys rising discretionary spend, the continent represents a compelling addressable market. In video entertainment alone, we estimate the opportunity at 58m households by 2027 and we believe that there are several other verticals that could represent equivalent or even larger addressable markets for our group.

  • We have a dynamic approach to growth

    We remain focused on our core entertainment businesses

    We understand our subscribers and their evolving entertainment needs.

    We create, acquire, license, curate, aggregate and package a unique mix of programming to deliver the best in local and international general entertainment and sports content ‘anywhere, anytime’.

    Our next-generation connected devices allow us to offer our customers third-party SVOD services to complement our own exceptional line-up. To accommodate broadening consumer tastes/preferences, we have moved beyond video entertainment into broader areas of interactive entertainment such as sports betting (via KingMakers).

  • We are drawing on global perspectives to drive local excellence

    We are building our broader platform to address customer needs

    We are looking to expand beyond entertainment by leveraging our scale and reach, trusted brand, technology, unique consumer insights, deep local knowledge and unmatched experience on the continent.

    We will look to address our customers’ desire for innovative solutions to their needs where we believe we have a compelling opportunity to add value.

    We have identified select areas of opportunity and are exploring options to pursue them through organic initiatives, strategic partnerships and/or direct investment in underlying businesses. We have a disciplined approach to capital allocation and understand the need to drive scale, growth and value creation for our shareholders in a consistent and responsible way.

  • We have a proud legacy and an even more exciting future

    We have an exciting roadmap and outlook ahead

    We have a management team with deep operational expertise, as well as established brands, a large and growing subscriber base, and a unique operating presence that supports our strategic ambitions.

    Our capital allocation process is underpinned by a healthy balance sheet, which is the result of strong operational execution, cost discipline and robust free cash flow generation.

(1) Per the United Nations Population Division – World Population Prospects 2022