DStv buys exclusive rights to eNCA for five years
E-tv owner eMedia has reported in its annual financial results that it secured a five-year extension with MultiChoice to carry eNCA on DStv.
It sold MultiChoice the exclusive rights to carry its flagship news channel, blocking its own platforms like Openview from carrying it.
eMedia also disclosed that MultiChoice is now paying a lower licence fee for the channel.
“The Group’s revenue for the fiscal [year] of R3.1 billion is only R20 million less than the previous year despite the under-pressure television advertising cake and a reduction in the eNCA licence fee received from MultiChoice,” eMedia stated.
“This was underscored by television advertising revenue ending on R2.1 billion and an increase of 48% (R86 million) on the property and facility income driven mainly by the recovery of Media Film Services.”
eMedia said it maintained its prime-time audience market share of 34.5% across E-tv, Openview, and eNCA — up slightly from 34.1% on March 2022.
E-tv’s prime-time market share dropped back to 21.4% after increasing from 21.8% in 2021 to 23.7% last year.
eNCA is the most-watched news channel in South Africa among the nation’s wealthiest demographic and the second most-watched news channel among “All Adults”.
This is despite the channel not being offered on all DStv packages, whereas its competition is, eMedia said.
“There has been a significant change in average minute ratings since the [Covid–19] pandemic and also due to load-shedding.”
The company’s net profit declined 8.8% from R414.3 million to R377.7 million.
eMedia said its profitability should be viewed in light of the continued load-shedding and its impact on the “advertising cake”, the foreign exchange rate, and the effect of diesel usage on the business.
“Earnings before interest, taxation, depreciation and amortisation for the Group ended on R667.2 million compared to R667.1 million in the prior year,” eMedia stated.
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