SGHC Earnings Prediction
The chart below shows how SGHC performed 10 days before and after its earnings report, based on data from the past quarters. Typically, SGHC sees a +2.42% change in stock price 10 days leading up to the earnings, and a -0.80% change 10 days following the report. On the earnings day itself, the stock moves by -5.15%. This data can give you a slight idea of what to expect for the next quarter's release.
SGHC Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
500.00M
--
24.12%
Gross Margin
--
--
--
Operating Margin
19.18%
--
27.87%
Net Margin
13.00%
--
519.05%
EPS
--
--
--
No Data Available
SGHC Earnings Analysis
SGHC Ltd Corporation (SGHC.N) Earnings Conference Call
Positive
International Revenue Milestone: Total revenue ex the US reached an all-time high of €1.66 billion, growing 18% year-over-year.
Record Adjusted EBITDA Growth: Adjusted EBITDA ex the US also set a record at €391 million, a 53% year-over-year increase, with a margin of 24%.
International Revenue Surge: In Q4, total revenue ex the US grew 38% year-over-year to €487 million, marking another all-time high.
EBITDA Growth and Margin: Q4 adjusted EBITDA ex the US grew 152% year-over-year to €129 million, achieving a margin of 26%.
Customer Record Achievement: The company set new customer records, including a daily record of nearly 2.2 million customers and an average of 5.3 million unique monthly active customers.
Record Monthly Performance: December was the best month ever for the company, with new highs in monthly deposits and total revenue.
Strong Financial Position: The company has a strong balance sheet with €356 million in unrestricted cash and no debt.
Special Cash Dividend Announcement: A special cash dividend of $0.15 per share was announced, totaling over $125 million paid to shareholders.
Increased Dividend Target: The minimum quarterly dividend target was increased to $0.04 per share, reflecting confidence in future performance.
Revenue and EBITDA Growth: For 2025, the company expects ex US total revenue to grow above 10% year-over-year to at least €1.830 billion and adjusted EBITDA to exceed €435 million.
Negative
US Business Development Potential: The US business remains relatively small and developing, indicating that it has not yet reached its full potential.
Investment Concerns Amid Growth: Despite record revenue growth in the US, the total investment for the quarter was €11 million, which raises concerns about the sustainability of profitability.
iGaming Strategy Transition Risks: The company is still in the process of transitioning to an iGaming-only strategy, which may pose risks and uncertainties in the short term.
Margin Comparison Analysis: The overall margin for combined US and ex-US revenue is projected to be 21%, which is lower than the ex-US margin of 24%, indicating potential challenges in the US market.
Marketing Investment Impact: The company has a significant focus on marketing investments, which could impact profitability if not managed effectively.
SGHC FAQs
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SGHC Earning Call Sentiment
Super Group (SGHC) Limited (SGHC) Q4 2024 Earnings Call Transcript
SGHC.N
2.55%Positive
The earnings call presents strong financial performance with significant revenue and EBITDA growth, especially ex-US. Positive sentiment is reinforced by increased dividends and optimistic guidance. However, regulatory and competitive risks, along with unclear responses on acquisitions and tax impacts, temper enthusiasm. Overall, the positive aspects, including a special cash dividend and strong growth figures, outweigh the negatives, suggesting a moderate stock price increase.
