MultiChoice, Africa’s largest pay-TV provider, says it expects to report a profit this week, but it would be tampered by the noticeable weakness of the rand throughout the year. In other words, things might have been better, but for the weakness of the home currency.
The company has had a pretty good year, with burgeoning subscriptions and even better performance outside of the Rainbow Nation.
While the company appears to be having a good run back home, it also faces some challenges abroad, including in Nigeria, where the announced increase in subscription costs has met with opposition from subscribers in the West African country.
The company managed to score a little victory when the Competition and Consumer Protection, CCPC, Tribunal sitting in Abuja dismissed the suit a legal practitioner, Mr Festus Onifade, had filed on behalf of himself and other concerned subscribers.
It is obvious that despite the weaker rand, MultiChoice has actually made some progress this quarter, even as it marches to the end of the year.
It remains to be seen if the South African rand will gain some sinews and reverse the handicap the company has justly acknowledged. You’re welcome to stay tuned for updates if you please.
