Sun International (SUI) H1 2024 earnings summary

Executive summary

• Group income rose 5.0% year-over-year to R6.0bn, with adjusted EBITDA up 4.0% to R1.6bn and a margin of 27.3%.

• EPS increased 97.1% to 337cps; AHEPS up 9.1% to 215cps.

• Interim dividend declared at 161cps, up 8.8% from the prior period.

• Sunbet delivered record results, with income up 71.8% to R512m and adjusted EBITDA up 88.9% to R170m.

• Robust trading performance driven by a diversified operating model and disciplined execution.

Financial highlights

• Continuing group income: R6.0bn, up 5.0% year-over-year.

• Adjusted EBITDA: R1.6bn, up 4.0%, with a margin of 27.3%.

• Group adjusted headline earnings rose 8.7% to R524m.

• Sunbet income soared 71.8% to R512m, exceeding growth targets.

• Hospitality income (excluding casino) from resorts and hotels up 12.3%.

Outlook and guidance

• Focus on increasing free cash flows, disciplined capital allocation, and operational excellence.

• Urban casinos to grow market share, protect margins, and enhance loyalty through CRM.

• Sunbet expects continued strong income growth and expansion into African markets.

• Expectation of improved operating environment due to government initiatives and easing inflation.