Sun International Targets Growth After Strong H1 Results

Sun International CEO Ulrik Bengtsson has expressed confidence in the company’s strategy as its iGaming division continues to expand rapidly. Despite headwinds in the land-based casino segment, the South African hospitality and gaming giant delivered revenue growth in the first half of 2025, supported by its flourishing online business.

Revenue Performance

For the six months ending 30 June, group revenue reached ZAR 6.19 billion (US$353 million), a 3% increase from ZAR 6.0 billion in the same period last year. Bengtsson highlighted that Sunbet, the group’s online platform, was the primary growth driver, with revenue surging 70% year-on-year.

“Sunbet continues to perform exceptionally well and has become one of the standout operators in this rapidly expanding market,” Bengtsson said. He reiterated the group’s ambition to make Sunbet the leading online operator in Southern Africa, potentially through targeted acquisitions to scale faster and expand regionally.

Online Expansion

Sunbet’s online slot revenue grew 70% to ZAR 871 million (US$49.8 million), compared to ZAR 512 million a year ago. Deposits increased by 105%, while first-time depositors rose 44%. Active unique users were also up 71%, showing strong engagement.

The group noted that investments were being directed toward casino floor upgrades, service improvements, product innovation, and enhanced marketing to strengthen both online and offline performance.

Challenges in Land-Based Operations

While digital operations surged, revenue from Sun International’s urban casinos declined 1% to ZAR 3.24 billion (US$185 million), reflecting pressures on its traditional operations. The company said it is reviewing its land-based strategy, focusing on improving customer acquisition and retention.

Resorts and hotels recorded a modest 4% increase to ZAR 1.32 billion (US$75 million), while Sun Slots posted a 2% rise to ZAR 701 million (US$40 million). Additional contributions came from international operations, including Chile and other African markets.

Profitability and Financial Position

Despite revenue growth, operating profit fell 6% to ZAR 1.12 billion (US$64 million), due to higher staff costs, taxes, and VAT. However, profit before tax rose 26% to ZAR 1.06 billion (US$61 million), with continuing operations net profit reaching ZAR 804 million (US$46 million), up 37% year-on-year.

Discontinued operations, by contrast, contributed only ZAR 8 million, compared with ZAR 343 million a year earlier. Including fair value adjustments, taxation, and FX effects, total net profit was ZAR 748 million, down 15% from last year.