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Multichoice is facing a financial crisis, with the company’s financial results showing growing debt.
According to the group’s 2023 financial results, its liabilities increased while assets decreased.
This puts the company in a position of insolvency, meaning it would not be able to cover all its debts even if the company sold everything it owns.
MultiChoice’s total assets declined from N$47,6 billion to N$43,9 billion, while liabilities increased to around N$45 billion.
A contributor to the financial difficulties is a new long-term loan of N$12 billion taken to manage daily operations
The group has, however, accelerated their cost-reduction programme, aiming to save N$2 billion by the 2025 financial year.
“These targets have been embedded in the group’s budgets and within the personal objectives of key executives to drive delivery,” it said.
According to the report, the company has seen a 9% decrease in active subscribers, impacting its revenue.
“The group will also continue its efforts to drive growth in focused areas, notably Showmax, Moment, SuperSportBet, DStv Insurance, DStv Internet and DStv Stream.”