Super Group (SGHC) Q3 2024 earnings summary

Executive summary

• Achieved record third-quarter ex-US revenue of €395 million, up 13% year-over-year, and record adjusted EBITDA ex-US of €95 million, up 52% year-over-year, driven by strong growth in Africa, Europe, and North America.

• Casino business represented 83% of net revenue, with Africa as the largest revenue contributor for the second consecutive quarter and strong performance in Canada and Europe.

• U.S. sportsbook operations fully shut down, with closure costs €9 million below previous estimates; iGaming in New Jersey and Pennsylvania continues under review for profitability.

• Monthly active customers increased 17% year-over-year to 4.7 million.

• Finished the quarter with €297 million in unrestricted cash and no debt, after paying a €0.10 per share dividend.

Financial highlights

• Revenue increased to €402.9 million from €356.9 million in Q3 2023; constant currency revenue was €410.9 million.

• Adjusted EBITDA was €83.9 million, up from €52.5 million year-over-year; ex-US Adjusted EBITDA was €95 million with a 24% margin.

• Unrestricted cash stood at €297 million at September 30, 2024.

• US operations posted a Q3 Adjusted EBITDA loss of €11 million, mainly from iGaming.

• Profit per share (basic) was 1.67 cents, down from 1.98 cents in Q3 2023.

Outlook and guidance

• 2024 ex-US Adjusted EBITDA guidance raised to over €345 million, with a margin of 22%.

• 2024 ex-US Total Revenue guidance set at €1.55 billion.

• Considering a special dividend before year-end and initiating a regular quarterly dividend of €0.025 starting Q1 2025.

• Long-term margin target raised to 22%-24% for 2025, up from 20%.