Africa's MultiChoice Group Reportedly Expects To Suffer Headline Loss
MultiChoice Group, Africa's largest pay-TV company, has confirmed that it expects to suffer a headline loss this year, due to foreign exchange losses in its South African business, among other reasons.
MultiChoice, the spin-off from e-commerce giant Naspers, forecasts to post a headline loss of between 324 cents and 390 cents ($0.2638) per share for the year ending on March 31, compared to the 410 cents for the previous year.
However, the company said that its core trading profit and headline earnings would rise from 8% to 12%, driven by positive subscriber growth and reduced losses in its business in the rest of Africa. Core earnings figures are adjusted for non-recurring and non-operational items.
The company stated that disposing of 5% of its stake in MultiChoice South Africa had reduced its earnings per share (EPS) and its headline earnings per share (HEPS) by roughly 438 cents while foreign exchange losses were expected to reduce EPS and HEPS by 263 cents.
Founded over 30 years ago, MultiChoice currently reaches more than 14 million homes in 50 African countries, offering both pay-TV products and also a streaming service called Showmax.
It debuted on Johannesburg's Stock Exchange in February.
Credit: This article originated from www.af.reuters.com