SunBet Announces Major Growth, Eyes Expansion in Africa

SunBet’s recent financial performance is turning heads. Reporting its financial results yesterday, Sun International, which is listed on the JSE, disclosed an 11.7% increase in group’s income for the six-month period ending 30th June, taking it to a total of R5.8 billion.

The data highlighted SunBet’s remarkable performance, with its income soaring by 138.4% during the period. This performance was further magnified by the substantial growth in the adjusted EBITDA, which skyrocketed by 542.9% from R14 million in the prior comparative period to R90 million in the current review.

Not resting on its laurels, SunBet is already looking towards the future after becoming one of the most popular betting sites in South Africa. The company revealed its plans to venture into other African regions, capitalising on the booming online betting market. As part of its strategy, SunBet has enhanced the overall player experience and expanded its game offerings. The result? An impressive spike in key performance indicators from 2022. The company noted:

“At the end of the review period, unique active players surged by 702.8%, first-time depositors grew by 469.2%, and deposits increased by 216.2%.”

Sun International emphasised the potential SunBet offers for significant growth. The business model of SunBet, which is self-funding and requires minimal capital expenditure (capex-light), provides an added advantage.

“We’re continuing to invest in our team and marketing strategies, targeting a significant market share in the rapidly expanding online gaming sector,” said a spokesperson from the company.

Furthermore, there have been notable improvements in first-time registrations, customer deposits, withdrawal processes, and customer support. This transformation ensures that customers can interact seamlessly, paving the way for handling higher business volumes.

SunBet is not just leveraging its betting platform. It’s also capitalising on the renowned Sun International brand and loyalty programmes to attract and retain players. Their mission? To establish SunBet as the most reliable online gaming operator in Southern Africa.

“In a saturated online market, our unique selling point is the value addition through the wider Sun International offerings. We’re eyeing a market share of over 10% by 2026. The online business model allows us to tap into new regions easily, and we’re preparing to launch in Ghana, Zambia, and Kenya by the first half of 2024,” the company added.

However, it’s not all smooth sailing. Sun Slots, another arm of the business, faced challenges with load shedding during the review period. This issue led to a dip in revenue from R730 million to R717 million and a reduction in the adjusted EBITDA from R191 million to R166 million. The company commented:

“Load-shedding severely affected gameplay at Sun Slots’ sites, leading to the downturn in our expected results for the period.”

Sun International has since initiated various measures to combat the negative impact of power disruptions, ensuring consistent gameplay.