Sun International (SUI) Corporate presentation summary

South African gaming industry trends

• The market has seen robust growth since 2010, driven by a surge in online gaming, with online betting now estimated at 80% of the betting and racing segment and 68.1% of total industry GGR as of 2024.

• Total gross gaming revenue (GGR) is forecast to reach R71.9bn in 2024, up from R56.2bn in 2023, with betting showing the fastest growth among all segments.

Key financial highlights

• Group income rose 5.1% to R12.6bn, with adjusted EBITDA up 3.0% to R3.5bn and a margin of 27.9%.

• Sunbet income hit a record R1.2bn, exceeding five-year targets, while Sun City adjusted EBITDA reached R480m, up 5.5%.

• EPS increased 54.7% to 764cps, HEPS rose 17.4% to 499cps, and total dividend declared was 398cps, up 13.4%.

• Debt to adjusted EBITDA stands at 1.5x, well below the 3.0x covenant.

Segmental performance

• Urban casinos and Sunbet showed strong income and EBITDA growth, with Sunbet's adjusted EBITDA margin improving to 30.8%.

• Hospitality income and margins are improving, and the group maintains a strong urban casino market share.