Sun International (SUI) H1 2026 (Q&A) earnings summary

Executive summary

• Revenue grew 7.4% year-over-year to R6.6bn, with land-based casinos returning to growth for the first time in three years and online gaming (SunBet) delivering standout performance.

• Adjusted EBITDA increased 2.0% to R1.6bn, with margin declining 1.3pp to 24.1% due to deliberate investments in technology, marketing, and customer acquisition.

• Adjusted headline earnings per share grew 7.9% to 247 cents, and the interim dividend increased 7.6% to 185 cents per share, maintaining a 75% payout ratio.

• Strategic focus on digital transformation, technology investment, and portfolio optimization, including a low-cost operating model at select casinos.

• The group maintained strong liquidity and financial flexibility, with net debt-to-adjusted EBITDA at 1.6x and interest cover at 8.3x.

Financial highlights

• Group income rose to R6.6bn, up 7.4% year-over-year; adjusted EBITDA increased 2.0% to R1.6bn.

• SunBet income surged 35.5% to R1.2bn, with adjusted EBITDA up 42.1% and now contributing 24% to group EBITDA.

• Land-based casino income up 1.5% to R3.4bn, with GGR up 4.4% and market share rising 2.3pp to 49.0%.

• Capex of R492m invested, focused on refurbishment and digital investments.

• Net debt-to-adjusted EBITDA at 1.6x, with R1.8bn available liquidity.

Outlook and guidance

• Revenue growth for the full year is expected at the upper end of the 6–8% guidance range, with strong trading continuing into the second half.

• Margin improvement and earnings growth targeted through operational efficiency and productivity initiatives, with most impact expected from 2027.

• Dividend guidance remains at 75% of earnings, with no current plans to adjust.

• ROIC target of 20%+ by 2030, with adjusted EBITDA to free cash conversion expected to normalize at 55%-60%.

• Continued investment in technology, omnichannel expansion, and disciplined capital allocation.