SABC blames elections for some of its R411m losses

The SABC said while giving feedback to parliament on Tuesday that it had recorded a net loss of R411 million in the 2015/16 financial year, had a net asset position of R2.7 billion and a cash balance of R881 million.

These losses were already reported on last year, though details about it are emerging now.

Aguma said “unbudgeted events” had eroded its profit. The SABC asked for more money from government to cover elections, but this was not granted. They received “nothing”.

The acting CEO, James Aguma, admitted the loss was due to several factors, though, blaming low government funding and the broadcaster’s retirement-servicing costs.

The SABC was giving feedback to parliament’s portfolio committee on communications.

Earlier, department of communications director-general Ndivhuho Munzhelele said the SABC was struggling to attract advertisers “in light of global economic conditions”.

The committee wants answers on why the SABC felt bonuses were justified if profits are not being made.

Aguma presented the following audience figures per week: Radio: 28.8 million, SABC1 28.8 million, SABC2 26.9 million, SABC3 21 million and SABC News 1.1 million.