1H FY20 Results

    1H FY20 by the numbers

  • Subscriber base
     

    18.9m(8.2m SA, 10.7m RoA)



    7%

  • Revenue
     

    R25.7bn 



    4%

  • Trading profit
     

    R4.8bn33% organic growth



    22%

  • Core headline earnings
     

    R1.9bn37% growth on like-for-like basis



    37%

  • Free cash flow
     

    R2.4bn 



    32%

  • Cash
     

    R6.9bnAfter payment of R1.5bn to PN shareholders


    66%

Key strategic highlights

1.2 million
subscriber growth

Increase of 7% YoY



Reduced losses in Rest of Africa (RoA) by R0.7bn

> 54 000 hrs local content library

Increased local content spend by 12% YoY

OTT user base grew 48% YoY

Group structure

Outlook

Content

  • Continue to ramp-up local content, leverage major global sport events & key productions
  • Expand OTT offering

South Africa

  • Target mass market growth, premium segment retention and scale OTT user base
  • Deliver stable profit margins and cash flows

RoA

  • Drive growth in mid and mass markets
  • Drive scale, manage costs, return business to profitability in medium-term

Technology

  • Increase market share in media security segment
  • Develop and grow connected industries business

Group

  • Navigate macro challenges to ensure top line growth and margin expansion
  • Deliver on intention to pay R2.5bn FY2 0 dividend



Download Fact Sheet September 2019 PDF


EXECUTIVE REVIEW OF OUR PERFORMANCE

The group added 1.2m 90-day active subscribers, representing 7% year-on-year (YoY) growth, taking the overall 90-day active subscriber base to 18.9m households at 30 September 2019 (HY20). In the absence of specific one-off events in the prior year, subscriber growth rates reflected more normalised trends. The subscriber base is split between 10.7m households in the Rest of Africa (RoA) and 8.2m in South Africa (SA).

Revenue was up 4% (3% organic) to R25.7bn and included subscription revenue of R21.2bn, which grew at similar rates. Top line momentum was affected by the group’s strategic decision not to increase Premium prices in SA. Hardware sales and advertising revenues were lower due to the one-off prior year events, while macro-headwinds in certain markets affected disposable income and thus consumer demand.

Full executive review of our performance