South Africa’s Sun International witnessed a 5.5% increase in income year-on-year, reaching ZAR12.10 billion in 2023, propelled by the exceptional performance of its SunBet sportsbook brand.
The total income for the year ending December 31, 2023, was up 7.0% from ZAR11.3 million the previous year, a testament to Sun International’s resilient multi-channel portfolio and strategic precision. The company saw varied performance across its sectors, with SunBet and Sun City casinos leading with significant gains. In contrast, some casinos in South Africa saw a dip, particularly in slot operations, due to “load shedding.”
Strategic Acquisitions and Future Prospects
The acquisition of Peermont, including the Emperor’s Palace and the online brand PalaceBet, for ZAR7.30 billion marked a significant expansion, with the deal anticipated to close within the year. Sun International remains optimistic about 2024 despite economic pressures and challenges, highlighting the strength and growth of SunBet in early trading.
Gaming continued as the primary revenue driver, with a notable 3.2% increase in 2023. While slot revenues declined, table games and brands like Sun Slots and SunBet saw positive growth. Non-gaming operations also reported a 21.7% increase, driven by higher rooms, food, beverage, and other revenues.
Financial Performance and Net Profit
Despite rising costs in several areas, the company celebrated a 62.1% jump in net profit and an increase in operating profit for 2023. This performance underscores Sun International’s strong financial health and effective operational strategy.
With the Peermont acquisition on the horizon, Sun International is focused on integration planning and leveraging its current success to maintain exceptional results and shareholder value. The company’s leadership is confident in the continued impact of its strategic direction on increased share among betting sites in South Africa.
Sun International’s journey through 2023 reflects its resilience, strategic agility, and commitment to growth, setting a positive trajectory for the years ahead.
