CASINO SOUTH AFRICA Record online sports betting, hotel performance boost Sun International profit 4 weeks ago Samuel Post Views: 177 Hotels and casino group Sun International is expecting strong profit growth in its half-year to end-June when it benefitted from an ongoing tourism recovery as well as record revenue at its online sports betting business SunBet. But its performance has been muted somewhat after the devaluation of the Nigerian naira. Headline earnings per share are expected to rise in a range of between 73% and 98% in the six months to end-June, said the group, which generated R231 million worth of this profit measure in the prior year. But adjusted headline earnings are only expected to rise as much as 12%, it said, having taken a R39 million accounting hit stemming from dollar-denominated loans for its Nigerian operation. The group said SunBet generated record income and was “well on its way to achieving the aggressive growth targets set for this business“, while cash generation and prudent capital management helped keep net debt steady relative to 2022. At the end of 2022, the company had total debt, including lease liabilities, of almost R8 billion, with R700 million of this in Nigeria. It also has almost R380 million in cash. Sun said its hotels and resorts had an “exceptional first half,” and urban casinos continued to show income growth, though its limited payout machines business Sun Slots came under pressure from load shedding. Valued at about R9 billion on the JSE, Sun International operates four resorts and hotels in SA: the Maslow in Sandton, the Wild Coast Sun in the Eastern Cape, the Table Bay Hotel, and Sun City in the North West. It also operates nine urban casinos, with at least one in every province except Mpumalanga, with these including Carnival City in Gauteng and the Western Cape’s GrandWest. The group also has a single hotel and casino in Nigeria, the Federal Palace. That country’s central bank has recently allowed a hefty currency devaluation, which hit Sun International. Revenue from casinos, as well as SunSlots and SunBet, made up about 80% of revenue in 2022, when Nigeria accounted for less than 2%. Muneer Ahmed, equity analyst at Denker Capital, said the adjusted profit measure was the one to watch, and it was unfortunate that load shedding was weighing on the slots business, while the recovery in urban casinos had also been slow. “Nonetheless a decent performance in a tough operating environment,” – he said. Sun International had made very good progress on debt over the past 18 months, but in a high interest rate environment, it would be good to see a reduction in debt, he added. Shares in Sun rose almost 3% in morning trade and up are up more than a fifth on a one-year basis. Source: news24.com About Post Author Samuel I am a journalist specializing in gambling in Africa and around the world. I am particularly interested in stories about games and casinos. See author's posts SamuelI am a journalist specializing in gambling in Africa and around the world. I am particularly interested in stories about games and casinos. Facebook Twitter LinkedIn Email Print Tags: Casinos, South Africa, Sun International, SunSlots Continue Reading Previous Hollywoodbets announces landmark sponsorship dealNext Developing Betting Applications In South Africa More Stories ONLINE SOUTH AFRICA List of best no deposit casinos bonus South Africa 2023 4 hours ago Samuel BILLIARD SOUTH AFRICA National championship glory beckoning for Western Gauteng 8-ball pool teams 4 hours ago Szarlot EXPERTS SOUTH AFRICA Online gambling addiction is a pandemic in SA, sucking in children and adults 4 days ago Szarlot EXPERTS SOUTH AFRICA MultiChoice investors kiss R32 billion goodbye 4 days ago Samuel CASINO ONLINE Discovering JetX: The Game Changer in Casino Gaming 6 days ago Samuel CASINO WORLD NEWS Caesars confirms cyberattack in Las Vegas for slots 1 week ago Samuel CASINO SOUTH AFRICA Carnival City goes Super Sweet with 24th birthday car mania promotion 1 week ago Szarlot BETTING SOUTH AFRICA Online betting platform SunBet cashes in R90m 2 weeks ago Samuel CASINO EXPERTS Seven fun and interesting facts about slot machines 2 weeks ago Iwo Bulski CASINO HISTORY 5 Biggest Slot Machine Wins of All Time 2 weeks ago Iwo Bulski CASINO UGANDA Casino gaming trends in Uganda 2 weeks ago Szarlot CASINO SOUTH AFRICA Sun International’s SunBet shoots the lights out 2 weeks ago Samuel Leave a Reply Cancel replyYour email address will not be published. Required fields are marked *Comment * Name * Email * Website Save my name, email, and website in this browser for the next time I comment. Δ This site uses Akismet to reduce spam. Learn how your comment data is processed.