Page 18 - Integrated Annual Report

OPERATIONAL OVERVIEW
16
INTEGRATED ANNUAL REPORT 2021
HOSKEN CONSOLIDATED INVESTMENTS LIMITED
eMEDIA HOLDINGS LIMITED
www.emediaholdings.co.za
The eMedia Group has had a relatively good year given the very tough economic climate brought upon the world by the COVID-19 pandemic. The table below shows the salient numbers for the group: (*prior year restated for discontinued operations)
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timeslot and its first six months has already achieved a 6AR average. e.tv is also looking forward to introducing a brand new daily soap towards the end of the new financial year. Watch the press for details;
eExtra, eMovie and eMovie Extra are consistently in the top five of the country’s satellite channels with eExtra now commanding a share in prime time of 4.3%. These rankings assist the group in providing four of the top 10 satellite channels in the country consistently; and
The search for more channels continues on a daily basis. Although there are many on offer, it is only those that are discerning in their content and commercially- viable that will be considered.
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The eMedia Group share in prime time has increased from 24.6% in March 2020 to 29.6% in March 2021 an increase of 20.33%. This is on the back of the e.tv prime time share increasing from 17.4% to 20.3% at the end of the period, with the local daily soaps which have held their ground. Durban General, the new daily soap was launched in October in the 18:30
2021 (R’m)
2020* (R’m)
1 735.5
2 4 1 .6 428.0 147.8
1 613.1
138.5
303.0
72.8
Advertising revenue
Adjusted profit from continuing operations
EBITDA
Headline earnings
As can be seen from the above table the pandemic hit all revenue streams which impacted the group mostly in the first part of the financial year, that is when lockdown levels were at their highest and all economic activity came to a standstill. This saw the total television advertising market declining by 15.7% whereas the group declined by 7% thereby doing considerably better than the market.
Business has evolved over time from a one-channel business to a 10-channel business and has truly become a bouquet of offerings best understood in the following categories:
Content – entertainment channels:
Under this sector, the group now has eight well- entrenched entertainment channels, namely e.tv, eExtra, eMovies, eMovies Extra, eToonz, eReality, eRewind and eAfrica.
The highlight of these channels includes:
Content – news and sport:
• As is well-known, the group’s news offering, eNCA is arguably the best, but certainly the most-watched news channel in South Africa;
• eNCA is exclusive to DStv and is such the leading channel in the LSM 8-10 category. It is the preferred choice of “decision-makers” and is recognised as a leading news brand. The presenter line-up, the format and the content are constantly managed so as to make eNCA as relevant as possible;
• As it is with most news channels around the world, there are opinions both ways about eNCA. eNCA works hard to find the balance and in doing so relies on the maxim that alludes to the following, “we should always be the subject of dinnertime discussions, good or bad – it is when the talking stops that we should be concerned”;
• The news and sports channel which was launched in the previous fiscal continues to provide the openview viewer with premium sports, which includes a live EPL and La Liga football match over the weekends. Venturing into live sport is new to the group and has worked out successfully. More live sport fixtures are being sourced and will be introduced in the near future; and