MultiChoice has pulled off a major turnaround, swinging from a hefty loss to a net gain of $108 million (R2.02 billion) for the financial year ending March 31, 2025. That’s a $243 million (R4.54 billion) reversal from the $135 million (R2.52 billion) loss the group posted the year before. A big driver of that recovery? The sale of a 60% stake in its insurance business to Sanlam, which gave the numbers a solid boost.
But the broader picture is more mixed. Group revenue dropped 9% to R49.98 billion ($2.67 billion), down from R55 billion ($2.94 billion) the previous year. That dip primarily resulted from weaker subscription revenues, which were impacted by foreign exchange issues and a shrinking customer base. MultiChoice also felt the effects of deconsolidating the insurance business. South Africa held steady with a slight revenue increase to R41.73 billion ($2.23 billion), but operations in the rest of Africa and the Showmax division dragged overall performance down.
Showmax is still in heavy investment mode. Just over a year after its relaunch as “Showmax 2.0” in partnership with Comcast’s NBCUniversal, the streaming service saw a 44% jump in subscribers, despite pulling out of markets outside Africa. That growth came at a steep price, though. Showmax’s trading losses widened nearly 88% to R4.95 billion ($265 million), up from R2.64 billion ($142 million) the previous year, while its revenues dropped from R1.32 billion ($71 million) to R1.05 billion ($56 million).
MultiChoice explained that part of the dip in Showmax revenue was due to cutting its Pro and Diaspora services. Strip those out, and it claims the core platform’s revenue grew by 5%. The company says this was a peak spending period aimed at improving content, growing distribution deals, and expanding payment options. It expects tech costs to ease going forward, helping the platform inch closer to profitability.
That said, overall subscriber numbers are still slipping. MultiChoice lost a total of 1.18 million subscribers in the year ending March 2025, with its total subscriber base dropping 8% from 15.69 million to 14.51 million. The loss was evenly split, with 600,000 subscribers dropping off in South Africa and another 600,000 across the rest of Africa. Its 90-day active users also declined by 11% to 18.59 million.
Looking ahead, MultiChoice is betting on a digital-first future to drive long-term growth. While Internet data costs and macro challenges, especially in markets like Nigeria, remain obstacles, the group is banking on Showmax, DStv Internet, and other streaming products to bring in the next wave of growth. It’s a risky play, but if subscriber numbers stabilise and content investment pays off, the group may be able to hold its ground in an increasingly crowded digital media landscape.
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