Earlier this week, MultiChoice issued a trading statement warning shareholders that it expects to report a net loss in its interim financial results on Thursday, 10 November 2022.
In 2021 the company announced earnings per share of US$0.18 during the six months between 1 April and 30 September.
This year the pay-TV operator expects it to be between US$0.21 and US$0.22 lower. That’s to say, swing from a net profit to a loss per share between US$0.047 and US$0.036.
MultiChoice’s headline earnings per share are also expected to tumble between US$0.23 and US$0.24 from US$0.20.
In a statement, MultiChoice said, “The board considers trading profit and core headline earnings per share as the two most appropriate indicators of the group’s operating performance, as they adjust for non-recurring and non-operational items.”
The pay-TV operator attributed the reduction in earnings and headline earnings per share to higher unrealised foreign exchange losses.
“This is further impacted by an increase in foreign exchange losses associated with the repatriation of cash from Nigeria at the parallel rate,” MultiChoice added.
“These exchange losses are considered to be temporary,” it assured.