Super Group Reports Financial Results for Fourth Quarter of 2024

Rhea-AI Summary

Super Group (SGHC) reported strong financial results for Q4 and full year 2024, with annual revenue reaching approximately €1.7 billion. The company achieved its highest-ever quarterly revenue of approximately €500.0 million in Q4, representing a 39% increase from the previous year. Profit before tax was €188.8 million for the full year and €96.8 million for Q4.

Non-GAAP Adjusted EBITDA ex-US reached €391.1 million for 2024, exceeding guidance, with Q4 contributing €128.8 million. The company ended the year with €355.8 million in unrestricted cash.

Super Group announced an increase in its minimum quarterly dividend target from 2.5 to 4.0 cents per share, with the first payment of 4.0 cents scheduled for March 28, 2025. For 2025, the company projects double-digit growth in both Total Revenue (>€1.915 billion) and Adjusted EBITDA (>€400 million).

Positive

• Record Q4 revenue of €500.0 million, up 39% year-over-year
• Full year profit before tax of €188.8 million, up from €16.8 million in 2023
• Adjusted EBITDA increased to €330.3 million from €198.2 million in 2023
• Monthly Average Customers grew 20% to 4.8 million for 2024
• Unrestricted cash increased to €355.8 million from €241.9 million in 2023
• Minimum quarterly dividend increased from 2.5 to 4.0 cents per share
• 2025 guidance projects double-digit growth in Revenue and Adjusted EBITDA

Negative

• US operations reported an Adjusted EBITDA loss of €60.8 million
• Non-cash impairment charge of €36.8 million related to DGC cash generating unit
• US investment of €61 million in 2024, though expected to reduce in 2025

Insights

Financial Analyst

Super Group (SGHC) has delivered record-breaking Q4 and full-year 2024 financial results, significantly outpacing market expectations and setting the stage for continued momentum in 2025. The online gaming operator posted €1.7 billion in revenue for 2024, representing an 18% year-over-year increase (21% on constant currency basis), with Q4 revenue surging 39% to €500 million.

The company's profitability metrics reveal an impressive operational inflection point. Profit before tax jumped to €188.8 million for 2024 compared to just €16.8 million in 2023, though this includes several non-cash items worth noting. The 2024 figure benefited from a €40.1 million gain from divesting the B2B division of DGC, partially offset by a €36.8 million impairment charge on the DGC cash generating unit and a €13.0 million fair value adjustment related to option liabilities.

The ex-US business demonstrates exceptional operational efficiency with Q4 Adjusted EBITDA of €128.8 million on revenue of €487 million, translating to a 26% margin – showcasing the scalability of Super Group's platform and the payoff from previous infrastructure investments. For the full year, ex-US Adjusted EBITDA reached €391.1 million, exceeding guidance and highlighting the core business strength.

Meanwhile, the US segment posted a €60.8 million Adjusted EBITDA loss for 2024, but management expects this investment to "reduce considerably in 2025" as they pivot to focus exclusively on the higher-margin iGaming vertical rather than the more competitive sports betting market.

The company's customer acquisition strategy is yielding results, with monthly average customers growing 20% to 4.8 million for 2024. This acceleration in user growth (Q4 saw 12% growth to 5.3 million) demonstrates effective marketing and product localization strategies in key markets.

From a capital allocation perspective, Super Group is balancing growth investments with shareholder returns. The 60% increase in the quarterly dividend target to 4.0 cents per share (annualized minimum of 16.0 cents) reflects management's confidence in sustainable cash generation. With €355.8 million in unrestricted cash (up from €241.9 million at the end of 2023) and no debt, the company maintains significant financial flexibility.

Looking ahead, Super Group's 2025 guidance projects double-digit growth in both revenue (>€1.915 billion) and Adjusted EBITDA (>€400 million). The ex-US business is expected to deliver >€435 million in Adjusted EBITDA on >€1.830 billion revenue, while US operations are forecast to narrow losses to €30-35 million on approximately €85 million revenue.

For investors, Super Group presents a compelling combination of growth and value characteristics rare in the gaming sector – strong operational execution, expanding margins, customer growth, and increasing capital returns. The company's strategic focus on bespoke localization and disciplined marketing investment positions it well to capitalize on the ongoing global shift to online gaming while maintaining financial discipline.

• Revenue of approximately €1.7 billion; includes highest ever total revenue for a fourth quarter of approximately €500.0 million
• Profit before tax for the year of €188.8 million and €96.8 million for the fourth quarter
• Non-GAAP Adjusted EBITDA ex-US of €391.1 million for the year exceeded guidance and €128.8 million for the fourth quarter
• Unrestricted cash of €355.8 million as of December 31, 2024
• Minimum quarterly dividend target raised to 4.0 cents per share up from 2.5 cents

NEW YORK--(BUSINESS WIRE)-- Super Group (SGHC) Limited (NYSE: SGHC) (“SGHC” or “Super Group”), the parent company of Betway, a leading online sports betting and gaming business, and Spin, the multi-brand online casino, today announced fourth quarter 2024 and full year 2024 unaudited consolidated financial results.

Neal Menashe, Chief Executive Officer of Super Group, commented: “The company made phenomenal progress in 2024, and we are proud of our strong finish to the year and the record-setting performance across the business. In December, we declared a special dividend, bringing our total 2024 shareholder returns to over $125 million, and going forward, I’m pleased to announce that we plan to increase our minimum quarterly dividend target to 4.0 cents per share up from 2.5 cents, in line with our commitment to continue returning excess cash to our shareholders. As we begin 2025, we are deeply focused on our key growth markets, offering a highly bespoke and localized product, maintaining a lean cost base and having a significant marketing budget ready for the right investment opportunities. We believe that Super Group is in an excellent position to build on last year’s success, and we look forward to another year of solid growth.”

Alinda van Wyk, Chief Financial Officer of Super Group, stated: “We achieved our best results to date, delivering full year ex-US revenue of €1.663 billion and ex-US Adjusted EBITDA of €391 million. In the US, our total investment for the year came in at €61 million, which we expect to reduce considerably in 2025 given our exclusive focus on iGaming. In the fourth quarter, we saw the benefit that operating leverage is having on our financial results, delivering our best ever ex-US quarterly results with Total Revenue of €487 million and Adjusted EBITDA of €129 million, a considerable margin of 26%. We are pleased to see continued momentum into 2025 and anticipate another year of double-digit growth across both Total Revenue and Adjusted EBITDA.”

Dividend Announcement

The Group is delighted to confirm that annual dividend program targets will be increased from 10.0 cents to a minimum of 16.0 cents cash per share in 2025, with payments made on a quarterly basis, subject to approval of Super Group’s Board of Directors, in its discretion, and subject to other potentially advantageous uses of funds. In line with this new target, Super Group's Board of Directors has declared the first dividend of 4.0 cents per share payable on March 28, 2025 to shareholders of record as of the close of business on March 10, 2025.

Quarterly Financial Highlights (Unaudited)

• Revenue increased by 39% to €500.0 million for the fourth quarter of 2024 from €359.9 million in 2023 (constant currency increase 39%).

• Profit before tax for the fourth quarter of 2024 was €96.8 million compared to a loss before tax of €44.9 million in 2023. The loss for the fourth quarter of 2023 was mainly affected by non-cash charges of €35.9 million relating to the impairment of the Digital Gaming Corporation Limited (“DGC”) cash generating unit, as well as €6.1 million relating to an increase in the fair value of a liability for a call option granted to a third-party to purchase the B2B division of DGC, which was exercised in the first quarter of 2024.

• Adjusted EBITDA, a non-GAAP financial measure, was €118.1 million in the fourth quarter of 2024 compared to €33.6 million in 2023.

• Monthly Average Customers for the fourth quarter of 2024 were 5.3 million compared to 4.7 million in 2023, a 12% increase.

Full Year Financial Highlights (Unaudited)

• Revenue increased by 18% to approximately €1.7 billion for 2024 from €1.4 billion in 2023 (constant currency increase 21%).

• Profit before tax was €188.8 million for 2024 compared to €16.8 million in 2023. The profit in 2024 includes non-cash charges of €13.0 million (2023: €28.6 million) relating to an increase in the fair value of a liability for a call option granted to a third-party to purchase the B2B division of DGC as well as a gain of €40.1 million relating to the sale of the division in February 2024. Additionally included in 2024 is a non-cash charge of €36.8 million (2023: €35.9 million) relating to the impairment of the DGC cash generating unit.

• Adjusted EBITDA, a non-GAAP financial measure, was €330.3 million for 2024 compared to €198.2 million in 2023. The measure for 2024 comprised Adjusted EBITDA ex-US of €391.1 million and an Adjusted EBITDA loss of €60.8 million in the US.

• Monthly Average Customers for 2024 were 4.8 million compared to 4.0 million in 2023, a 20% increase.

• Unrestricted cash was €355.8 million as of December 31, 2024 compared to €241.9 million at the end of 2023.

Guidance 2025

Super Group projects double-digit growth across both Total Revenue and Adjusted EBITDA.

• Ex-US guidance projections:
  • Total Revenue: >€1.830 billion
  • Adjusted EBITDA: >€435 million
• US guidance projections:
  • Total Revenue: ~€85 million
  • Adjusted EBITDA: Between €(30) and €(35) million
• Combined guidance projections:
  • Total Revenue: >€1.915 billion
  • Adjusted EBITDA: >€400 million

Preliminary Financial Results

The financial results included in this press release are preliminary, have not been audited and are subject to change upon completion of the audit of Super Group’s financial statements for the year ended December 31, 2024. As a result, these preliminary results may be different from the actual results that will be reflected in Super Group’s consolidated financial statements to be included as part of Super Group’s Annual Report on Form 20-F for the year ended December 31, 2024 to be filed with the US Securities and Exchange Commission.

Non-GAAP Financial Information

This press release includes non-GAAP financial information not presented in accordance with the International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board.

EBITDA, Adjusted EBITDA, Adjusted EBITDA ex-US, Adjusted EBITDA US and revenue on a constant currency basis are non-GAAP company-specific performance measures that Super Group uses to supplement the Company’s results presented in accordance with IFRS. EBITDA is defined as profit before depreciation, amortization, finance income, finance expense and income tax expense. Adjusted EBITDA is EBITDA adjusted for RSU expense, change in fair value of options, unrealized foreign exchange, gain on disposal of business, impairment of assets, US sportsbook closure, market closure and other adjustments. Adjusted EBITDA ex-US is Adjusted EBITDA relating to the rest of the group, excluding Digital Gaming Corporation (“DGC”). Adjusted EBITDA US is Adjusted EBITDA relating to DGC. Constant currency revenue growth is calculated by translating non-Euro performance for 2023 and 2024 using 2023 exchange rates.

Super Group believes that these non-GAAP measures are useful in evaluating the Company’s operating performance as they provide additional perspective on the financial performance of our core business, are similar to measures reported by the Company’s public competitors and are regularly used by securities analysts, institutional investors and other interested parties in analyzing operating performance and prospects.

Management does not consider these non-GAAP measures in isolation or as an alternative to financial measures determined in accordance with IFRS. The principal limitation of these non-GAAP financial measures is that they exclude significant expenses that are required by IFRS to be recorded in Super Group’s financial statements. In order to compensate for these limitations, management presents non-GAAP financial measures together with IFRS results. Non-GAAP measures should be considered in addition to results and guidance prepared in accordance with IFRS, but should not be considered a substitute for, or superior to, IFRS results.

Reconciliation tables of the most comparable IFRS financial measure to the non-GAAP financial measures used in this press release, other than revenue on a constant currency basis, and supplemental materials are included below. Super Group urges investors to review the reconciliation and not to rely on any single financial measure to evaluate its business. In addition, other companies, including companies in our industry, may calculate similarly named non-GAAP measures differently than we do, which limits their usefulness in comparing our financial results with theirs.

Reconciliation of Profit before taxation to EBITDA and Adjusted EBITDA

for the Three Months and for the Year ended December 31, 2024, in € ‘000s:

	Three Months Ended December 31				Year ended December 31
	2024		2023		2024		2023
Profit / (loss) before taxation	96,782		(44,863	)	188,798		16,780
Finance income	(2,277	)	(3,112	)	(10,225	)	(8,912	)
Finance expense	1,429		947		6,082		2,726
Depreciation and amortization expense	17,161		20,585		77,709		82,189
EBITDA	113,095		(26,443	)	262,364		92,783
Change in fair value of options	137		6,147		12,976		28,642
RSU expense	2,214		4,138		10,337		16,836
Unrealized foreign exchange	(2,606	)	(83	)	5,185		3,526
Gain on bargain purchase	—		(209	)	—		(209	)
Market closure	—		10,397		5,834		10,397
US Sportsbook closure	—		—		32,749		—
Gain on disposal of business	—		—		(40,135	)	—
Impairment of assets	—		35,949		36,775		35,949
Other adjustments1	5,227		3,730		4,179		10,254
Adjusted EBITDA	118,067		33,626		330,264		198,178
Adjusted EBITDA, ex-US	128,780		51,186		391,094		255,033
Adjusted EBITDA, US	(10,713	)	(17,560	)	(60,830	)	(56,855	)

1

Other adjustments in 2024 includes Sportsbook acquisition related costs and certain legal costs and 2023 includes bad debt and SOX implementation fees relating to new acquisitions.

Webcast Details

The Company will host a webcast at 8:30 a.m. ET today to discuss the fourth quarter and full year 2024 financial results. Participants may access the live webcast and supplemental earnings presentation on the events & presentations page of the Super Group Investor Relations website at: https://investors.sghc.com/events-and-presentations/default.aspx.

About Super Group (SGHC) Limited

Super Group (SGHC) Limited is the holding company for leading global online sports betting and gaming businesses: Betway, a premier online sports betting brand, and Spin, a multi-brand online casino offering. Listed on the New York Stock Exchange (NYSE ticker: SGHC), Super Group is licensed in multiple jurisdictions, with leading positions in key markets throughout Europe, the Americas and Africa. Super Group’s successful sports betting and online gaming offerings are underpinned by its scale and leading technology, enabling fast and effective entry into new markets. Super Group has been ranked no. 6 in the EGR Power 50 for the last two years. For more information, visit www.supergroup.com.

Forward-Looking Statements

Certain statements made in this press release are “forward looking statements” within the meaning of the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995.

These forward-looking statements include, but are not limited to, Super Group’s intention to pay a dividend, including the expected timing of such dividend, expectations and projections of market opportunity, growth and profitability.

These forward-looking statements generally are identified by the words “believe,” “project,” “expect,” “anticipate,” “estimate,” “intend,” “strategy,” “future,” “opportunity,” “plan,” “pipeline,” “possible,” “may,” “should,” “will,” “would,” “will be,” “will continue,” “will likely result,” and similar expressions. Forward-looking statements are predictions, projections and other statements about future events that are based on current expectations and assumptions and, as a result, are subject to risks and uncertainties. Many factors could cause actual future events to differ materially from the forward-looking statements in this press release, including but not limited to: (i) the ability to implement business plans, forecasts and other expectations, and identify and realize additional opportunities; (ii) changes in the competitive and regulated industries in which Super Group operates; (iii) variations in operating performance across competitors; (iv) changes in laws and regulations affecting Super Group’s business; (v) Super Group’s inability to meet or exceed its financial projections; (vi) changes in general economic conditions; (vii) changes in domestic and foreign business, market, financial, political and legal conditions; (viii) the ability of Super Group’s customers to deposit funds in order to participate in Super Group’s gaming products; (ix) Super Group’s ability, and the ability of Super Group’s key executives, certain employees, significant shareholders or other applicable individuals, to comply with regulatory requirements or successfully obtain a license or permit required in a particular regulated jurisdiction, or maintain, renew or expand existing licenses; (x) the effectiveness of technological solutions Super Group has in place to block customers in certain jurisdictions, including jurisdictions where Super Group’s business is illegal, or which are sanctioned by countries in which Super Group operates from accessing its offerings; (xi) Super Group’s ability to restrict and manage betting limits at the individual customer level based on individual customer profiles and risk level to the enterprise; (xii) Super Group’s ability to protect or enforce its intellectual property rights, the confidentiality of its trade secrets and confidential information, or the costs involved in protecting or enforcing Super Group’s intellectual property rights and confidential information; (xiii) compliance with applicable data protection and privacy laws in Super Group’s collection, storage and use, including sharing and international transfers, of personal data; (xiv) failures, errors, defects or disruptions in Super Group’s information technology and other systems and platforms; (xv) Super Group’s ability to develop new products, services, and solutions, bring them to market in a timely manner, and make enhancements to its platform; (xvi) Super Group’s ability to maintain and grow its market share, including its ability to enter new markets and acquire and retain paying customers; (xvii) the success, including win or hold rates, of existing and future online betting and gaming products; (xiii) competition within the broader entertainment industry; (xix) Super Group’s reliance on strategic relationships with land based casinos, sports teams, event planners, local licensing partners and advertisers; (xx) events or media coverage relating to, or the popularity of, online betting and gaming industry; (xxi) trading, liability management and pricing risk related to Super Group’s participation in the sports betting and gaming industry; (xxii) accessibility to the services of banks, credit card issuers and payment processing services providers due to the nature of Super Group’s business; (xxiii) the regulatory approvals related to proposed acquisitions and the integration of the acquired businesses; and (xxiv) other risks and uncertainties indicated from time to time for Super Group including those under the heading “Risk Factors” in our Annual Report on Form 20-F filed with the SEC on April 25, 2024, and in Super Group’s other filings with the SEC. The foregoing list of factors is not exhaustive. You should carefully consider the foregoing factors and the other risks and uncertainties described in other documents filed or that may be filed by Super Group from time to time with the SEC. These filings identify and address other important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements. Forward-looking statements speak only as of the date they are made. Readers are cautioned not to put undue reliance on forward-looking statements, and Super Group assumes no obligation and does not intend to update or revise these forward-looking statements, whether as a result of new information, future events, or otherwise. Super Group does not give any assurance that it will achieve its expectations.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250225566012/en/

Investors:

investors@sghc.com

Media:

media@sghc.com

Source: Super Group

FAQ

What were Super Group's (SGHC) Q4 2024 revenue and profit figures?

Super Group reported Q4 2024 revenue of €500.0 million (up 39% year-over-year) and profit before tax of €96.8 million, compared to a loss of €44.9 million in Q4 2023.

How much did Super Group (SGHC) increase its dividend in 2025?

Super Group increased its minimum quarterly dividend target from 2.5 to 4.0 cents per share, raising the annual dividend program targets from 10.0 cents to a minimum of 16.0 cents per share in 2025.

What is Super Group's (SGHC) financial guidance for 2025?

Super Group projects 2025 total revenue exceeding €1.915 billion and Adjusted EBITDA exceeding €400 million, representing double-digit growth in both metrics.

How did Super Group's (SGHC) customer base grow in 2024?

Super Group's Monthly Average Customers increased by 20% to 4.8 million in 2024 compared to 4.0 million in 2023, with Q4 2024 showing 5.3 million monthly average customers.

What was Super Group's (SGHC) cash position at the end of 2024?

Super Group reported unrestricted cash of €355.8 million as of December 31, 2024, compared to €241.9 million at the end of 2023.

How much did Super Group (SGHC) return to shareholders in 2024?

Super Group returned over $125 million to shareholders in 2024, including a special dividend declared in December.