Canal+ recognised a €15 million (R285 million) gain from the closure of Showmax, according to its half year results for the 2026 financial year.
The results cover the six months to June 2026 and mark the first set of Canal+ financials to fully incorporate MultiChoice. Canal+ acquired all of MultiChoice’s shares and delisted the company from the JSE in late 2025.
How the Gain Was Calculated
Canal+ recognised a €48 million (R914 million) once off tax gain tied to the shutdown of Showmax. This offset the impairment of Showmax’s assets and a €14 million (R266 million) net loss from provisions relating to Showmax’s content agreements.
The result: Canal+ reported a €15 million gain from the closure, instead of a loss.
Canal+ said the tax gain stemmed from an accounting mechanism. Showmax’s losses reduced MultiChoice’s pre-tax profit for the period. A lower pre-tax profit reduced MultiChoice’s tax burden, which produced the €48 million tax credit. That credit exceeded the €33 million (R629 million) in pre-tax operating losses recognised as part of winding down Showmax.
Company shutdowns typically reduce a parent company’s profit, due to staff layoffs, asset impairments, and the recognition of final operating losses. Canal+ said the Showmax closure did not follow this pattern, and instead had a positive impact on its results for the period.
Background on the Closure
Showmax stopped operating as a standalone streaming service at the end of April 2026. The closure was part of a wider set of cost synergy measures at MultiChoice under Canal+ ownership.
On the earnings call, CEO Maxime Saada listed the closure among a set of completed integration steps, telling analysts “we have discontinued the Showmax streaming service.” He said the move sat alongside renegotiated content costs, a voluntary severance plan, and lower hardware prices as part of the cost synergy programme at MultiChoice.
CFO Amandine Ferré said the Showmax closure contributed €52 million toward the €120 million in synergies MultiChoice delivered in the first half, out of a €250 million full year target for the group.
MultiChoice told investors in March that Showmax’s annual losses were not sustainable. At the time, the company said the decision to phase out Showmax reflected its focus on building a sustainable, competitive business in a demanding global streaming market. MultiChoice also said the move was consistent with a Canal+ plan to deploy its own in house streaming platform for African and international consumers.
