SEGMENTAL REVIEW
for the year ended 31 March 2022
| Revenue | Revenue | Trading profit1 | ||||||
|---|---|---|---|---|---|---|---|---|
| 2022 ZAR’m |
2021 ZAR’m |
|||||||
| Revenue and trading profit | External | Inter segment | Total | External | Intersegment | Total | 2022 ZAR’m |
2021 ZAR’m |
| South Africa | 35 615 | 7 750 | 43 365 | 34 327 | 6 588 | 40 915 | 11 032 | 11 132 |
| Rest of Africa | 18 081 | 199 | 18 280 | 17 162 | 281 | 17 443 | (1 213) | (1 408) |
| Technology | 1 544 | 1 666 | 3 210 | 1 849 | 1 638 | 3 487 | 515 | 566 |
| Eliminations | – | (9 615) | (9 615) | – | (8 507) | (8 507) | – | – |
| Total | 55 240 | – | 55 240 | 53 338 | – | 53 338 | 10 334 | 10 290 |
| 1 | Total group trading profit and Rest of Africa trading profit presented above includes losses of ZAR163m (FY21: gains of ZAR72m) related to fair value movements on Nigeria futures contracts. |
| 2022 ZAR’m |
2021 ZAR’m |
|||||||
| Revenue by nature | South Africa |
Rest of Africa |
Technology | Total | South Africa |
Rest of Africa |
Technology | Total |
| Subscription fees | 28 956 | 16 468 | – | 45 424 | 28 794 | 15 817 | – | 44 611 |
|---|---|---|---|---|---|---|---|---|
| Advertising | 3 258 | 651 | – | 3 909 | 2 443 | 405 | – | 2 848 |
| Set-top boxes | 1 069 | 801 | – | 1 870 | 987 | 802 | – | 1 789 |
| Installation fees | 321 | – | – | 321 | 324 | – | – | 324 |
| Technology contracts and licensing | – | – | 1 544 | 1 544 | – | – | 1 849 | 1 849 |
| Other revenue | 2 011 | 161 | – | 2 172 | 1 779 | 138 | – | 1 917 |
| Total external revenue | 35 615 | 18 081 | 1 544 | 55 240 | 34 327 | 17 162 | 1 849 | 53 338 |
Reconciliation of consolidated trading profit to consolidated operating profit
Operating segments are identified on the basis of internal reports about components of the group that are regularly reviewed by the chief operating decision-maker (CODM) in order to allocate resources to the segments and to assess their performance. The CODM has been identified as the executive directors of the group.
Trading profit as presented in the segment disclosure is the CODM and management’s measure of each segment’s operational performance. A reconciliation of the segmental trading profit to operating profit as reported in the income statement is provided below:
| 2022 ZAR’m |
2021 ZAR’m |
|
| Trading profit per segmental income statement | 10 334 | 10 290 |
|---|---|---|
| Adjusted for: | ||
| Interest on transponder leases (note 4) | 537 | 688 |
| Amortisation of intangibles (other than software) | (53) | (65) |
| Other operating (losses)/gains – net (note 5)1 | (265) | 117 |
| Equity-settled share-based compensation | (420) | (391) |
| Severance provision | – | (11) |
| Cash settled share-based payments on closure of SAR scheme2 | – | (98) |
| Fair value movements on futures contracts | 163 | (72) |
| Operating profit per the income statement3 | 10 296 | 10 458 |
| 1 | Excludes ZARnil (FY21: ZAR15m) of other operating gains which are included in both trading profit and operating profit. |
| 2 | Relates to once-off expense on the closure of the MultiChoice 2008 SAR scheme in the prior year. |
| 3 | The summary consolidated income statement discloses all reporting items from consolidated operating profit to consolidated profit before taxation. |