“The MultiChoice SA team has done exceptionally well to steer the ship through an increasingly challenging economic and consumer en˩ironmentʡ We all know how tough it ˛as ˕ecome for ˆo˨t˛ ʴfricans in recent years and these underlying issues were compounded in the current year by the severe and sustained escalation in loa˗s˛e˗˗in˚ʡϣ Share price As we’ve cautioned in the past, it is always important to remember that directly or indirectly investing in a company represents a share of ownership in that company and, as owners of that company, shareholders participate in the good and bad times. A direct investment in Phuthuma Nathi, which represents an indirect investment in MultiChoice SA, is no different. If you check your Phuthuma Nathi share price periodically on EESE you will have seen that it moves up and down from day to day and through the course of a year, similar to other companies that trade on public exchanges. A key driver of share price movements is typically the company’s underlying performance and its prospects for future growth. It’s important, then, to try to contextualise movements in a company’s share price by assessing the company’s underlying performance and prospects in the context of market conditions. As a reminder, the Phuthuma Nathi share price increased from ZAR133 per share at 31 March 2021 to ZAR141 per share at 31 March 2022, up 6% YoY. In FY23, the share price declined from ZAR141 per share at 31 March 2022 to ZAR134 per share at 31 March 2023, down 5% YoY. Over two years, then, the share price was essentially at. However, over the same two years Phuthuma Nathi paid out a total of ZAR44 per share in dividends (before tax). This represents a return of 16% per annum, comfortably beating the 6% in ation rate. As a nal comment, the Phuthuma Nathi share price will not necessarily track broader equity market trends or even MultiChoice SA’s underlying performance exactly, as the share price is ultimately in uenced by demand from those wishing to buy shares and supply from those wishing to sell shares, which incorporate factors like growth and dividend prospects relative to other investment opportunities in the market. BBBEE legislation also somewhat limits the number of investors who can buy and sell Phuthuma Nathi shares. Mandla Langa Chair: Phuthuma Nathi Phuthuma Nathi Investments (RF) Limited Integrated annual report 2023 9 Overview Introduction Understanding Phuthuma Nathi Understanding MultiChoice SA MultiChoice SA performance Financial review Corporate governance review Shareholder information
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