Super Group Overview - Super Group's LTM (Last Twelve Months) revenue is $2.1 billion and LTM Adjusted EBITDA is $486 million[51] - The company paid $166 million in dividends as of Q2 2025[51] - Super Group's sports gross margin was 13.9% in 1H 2025, compared to 11.8% in 1H 2024[30] - The company has approximately 3,000 employees across 16 countries[15] Customer Acquisition and Retention - AI-driven customer service led to a 70% increase in customers serviced, a 45% increase in host productivity, and a 60% decrease in abandon rates[30] - Key customer engagement metrics increased by 25% due to personalized marketing[28] - Bot-assisted advantage betting decreased by approximately $187,000[28] - Approximately 74% of Betway Global's H1 2025 gross revenue came from pre-2025 cohorts[194] - Approximately 80% of SPIN's H1 2025 gross revenue came from pre-2025 cohorts[128] - Approximately 93% of Betway Africa's H1 2025 gross revenue came from pre-2025 cohorts[291] Market Opportunity and Growth - The global interactive Total Addressable Market (TAM) is estimated to be $209 billion in 2025 and $338 billion in 2030, representing a 10% Compound Annual Growth Rate (CAGR)[53] - The iGaming market is projected to reach $142 billion in 2030, with a five-year CAGR of approximately 11% from 2025[120] - Betway Africa's H1 2025 total revenue was over $420 million, a 37% year-over-year increase, representing 40% of Group Net Revenue[239]

Group 1 - Super Group (SGHC) Limited closed at $12.64, reflecting a -2.47% change from the previous day, underperforming the S&P 500's 0.05% loss [1] - Over the past month, shares of Super Group have appreciated by 13.48%, outperforming the Consumer Discretionary sector's gain of 5.91% and the S&P 500's gain of 3.44% [1] Group 2 - The upcoming earnings release is expected to show an EPS of $0.08, which is an 11.11% decline compared to the same quarter last year, with anticipated quarterly revenue of $492 million, up 11.12% year-over-year [2] - For the entire year, Zacks Consensus Estimates forecast earnings of $0.36 per share and revenue of $2.13 billion, indicating changes of +5.88% and +16.06% respectively compared to the previous year [3] Group 3 - Recent changes to analyst estimates for Super Group reflect short-term business trends, with positive revisions indicating a favorable outlook on business health and profitability [4] - Estimate revisions are correlated with near-term share price momentum, and investors can utilize the Zacks Rank for actionable insights [5] Group 4 - The Zacks Rank system, ranging from 1 (Strong Buy) to 5 (Strong Sell), has a strong track record, with stocks rated 1 producing an average annual return of +25% since 1988; Super Group currently holds a Zacks Rank of 3 (Hold) [6] Group 5 - Super Group is currently traded at a Forward P/E ratio of 36, which is a premium compared to the industry average Forward P/E of 23.73; the Gaming industry ranks in the top 37% of all industries according to Zacks Industry Rank [7]

Group 1 - Super Group (SGHC) Limited has an average brokerage recommendation (ABR) of 1.14, indicating a consensus between Strong Buy and Buy, with 85.7% of recommendations being Strong Buy and 14.3% being Buy [2][5] - The reliability of brokerage recommendations is questioned, as studies show limited success in guiding investors towards stocks with the best price increase potential [5][10] - Analysts from brokerage firms tend to exhibit a positive bias in their ratings due to vested interests, leading to a higher number of favorable ratings compared to negative ones [6][10] Group 2 - Zacks Rank is highlighted as a more effective tool for predicting stock price movements, categorizing stocks from Strong Buy to Strong Sell based on earnings estimate revisions [8][11] - The Zacks Rank is updated more frequently than the ABR, reflecting timely changes in analysts' earnings estimates, which correlates strongly with near-term stock price movements [12] - For Super Group (SGHC), the Zacks Consensus Estimate for the current year remains unchanged at $0.47, resulting in a Zacks Rank of 3 (Hold), suggesting caution despite the favorable ABR [13][14]

Financial Data and Key Metrics Changes - Super Group reported record total revenue of $579 million, up 50% year over year [9] - Adjusted EBITDA reached an all-time high of $157 million, representing 78% year over year growth with a margin of approximately 27% [10][21] - Total sports wagering was $958 million for the quarter, up 15% year over year [19] Business Line Data and Key Metrics Changes - Sports betting wages increased by 15% year over year, while casino wages grew by 24% [10] - The BET Builder product contributed significantly to revenue growth [10] - The company achieved a record average of 5.5 million unique monthly active customers, representing 21% year over year growth [19] Market Data and Key Metrics Changes - Revenue in Europe surged by 53% year over year, with the UK leading at 83% growth [11] - Africa saw a 59% year over year growth, with Ghana growing 63% and South Africa 31% [12] - North America grew by 23% year over year, with Canada (excluding Ontario) increasing by 22% [14] - APAC faced challenges with a 6% year over year revenue decline, an improvement from a 13% decline in the previous quarter [16] Company Strategy and Development Direction - The company is exiting the U.S. high gaming market to focus on capital discipline and long-term profitability [7][18] - A new Group Chief Technology Officer has been appointed to enhance innovation and operational efficiencies [6] - The company is investing in technology platforms and exploring opportunities in the crypto space [24] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the business's momentum, particularly with the upcoming football season [28] - The exit from the U.S. market is seen as a strategic move to reallocate resources to more profitable markets [34] - Future growth is expected from a full calendar of global sporting events and enhanced trading and pricing strategies [23] Other Important Information - The company declared a regular cash dividend of $0.04 per share in June, totaling $0.08 for 2025 [21] - A one-time restructuring cash cost of approximately $15 million is anticipated due to the U.S. exit [19] Q&A Session Summary Question: Insights on the raised guidance and potential concerns for Q3 - Management indicated that July started strong and emphasized the importance of the upcoming football season as a key driver for growth [28] Question: Reasons for the U.S. exit decision - The decision was based on high operational costs and the lack of a clear path to profitability in the U.S. market [34] Question: Marketing strategies and customer growth - Management highlighted the importance of reallocating marketing budgets to more effective channels and the positive impact of sponsorships like F1 [42] Question: Future gaming margins and opportunities - Management believes that gaming margins could reach closer to 20% with improved product offerings and risk management [49] Question: Competitive pressures in Ontario - Management noted that marketing returns and customer acquisition costs are key challenges in Ontario, but they are optimistic about future growth [58] Question: Cash balance and capital deployment - The company plans to maintain flexibility in capital deployment, focusing on high-return opportunities and consistent dividend payments [65]

Financial Data and Key Metrics Changes - Super Group reported record total revenue of $579 million, up 50% year over year [7] - Adjusted EBITDA reached an all-time high of $157 million, representing 78% year over year growth with a margin of approximately 27% [8][18] - Total sports wagering was $958 million for the quarter, up 15% year over year [17] Business Line Data and Key Metrics Changes - Sports betting revenue increased by 15% year over year, while casino wagering grew by 24% [8] - BET Builder, an innovative parlay product, contributed significantly to growth [8] - The U.S. revenue was up 112% year over year, but the company plans to exit the U.S. high gaming market [13][16] Market Data and Key Metrics Changes - Europe’s revenue surged 53% year over year, with the U.K. leading at 83% growth [9] - Africa saw a 59% year over year growth, with Ghana growing 63% [10] - North America grew 23% year over year, with Canada (excluding Ontario) increasing by 22% [12] Company Strategy and Development Direction - The company is focusing on capital discipline and long-term profitability by exiting the U.S. market [16] - Investment in technology and innovation is a priority, highlighted by the appointment of a Group Chief Technology Officer [5] - The company is exploring opportunities in the crypto space to enhance payment processing and attract new customers [21] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the business retention rates and growth momentum, particularly with the upcoming football season [25][26] - The company anticipates a one-time restructuring cash cost of approximately $15 million due to the U.S. exit [17] - Future growth drivers include a full calendar of global sporting events and enhanced trading and pricing strategies [20] Other Important Information - The company declared a regular cash dividend of $0.04 per share in June, totaling $0.08 for 2025 [18] - A non-cash impairment adjustment of $63.9 million was recorded due to the U.S. exit [34] Q&A Session Summary Question: Insights on the raised guidance and potential concerns for Q3 - Management indicated that July started strong and emphasized the importance of the upcoming football season as a key driver for performance [25][26] Question: Reasons for the U.S. exit decision - The decision was based on high operational costs and the lack of a clear path to profitability in the U.S. market [31][32] Question: Marketing strategies and customer growth - Management discussed redeploying marketing budgets into more effective channels and the impact of sponsorships like F1 on customer engagement [37][39] Question: Future gaming margins and structural improvements - Management believes that with better parlay products and improved risk management, gaming margins could approach 20% [46] Question: Progress on iGaming upgrades and cash deployment plans - The company is focused on investing in high-return opportunities and maintaining a strong cash position for future growth [61][62]

Financial Highlights - Super Group achieved a record Total Group Revenue of $579 million, a 30% year-over-year increase[13] - The Group's Adjusted EBITDA reached a record $157 million, representing a 78% year-over-year growth and a 27% margin[13] - The company has a debt-free balance sheet with $393 million in unrestricted cash as of June 30, 2025[13,15] - Dividends of $20 million were paid out during the quarter, with a total of $166 million in dividends paid on a trailing twelve-month basis[13] Business Performance - The average unique monthly active customers increased by 21% year-over-year[15] - Net Revenue increased by 30% year-over-year to $570 million[21] - Ex-U S Total Revenue increased 28% year-over-year to $563 million[15,35] - Sportsbook Gross Revenue increased 27% year-over-year, with a margin of 13 9% compared to 12 6% in the same quarter of the previous year[27] - Casino Gross Revenue increased 25% year-over-year, with a margin of 4 44% compared to 4 40% in the same quarter of the previous year[30] Strategic Decisions - Super Group announced a strategic exit from the U S iGaming business[13,49] - The exit from the U S iGaming business will incur one-off costs, including $63 9 million for goodwill and asset impairment, $22 6 million for onerous contracts, and approximately $6 million in cash closing costs[50] Guidance - Ex-U S Adjusted EBITDA guidance was raised from $480 million to a range of $500-$510 million[13] - The company projects total revenue to be greater than $2 04 billion and Adjusted EBITDA to be in the range of $470-$480 million[61]

Financial Performance - Super Group reported Q2 2025 revenue of $579.4 million, a 30% increase from $446.5 million in Q2 2024[6] - Adjusted EBITDA for Q2 2025 reached $156.7 million, up 78% year-over-year, with a margin of 27%[5] - Profit before tax for Q2 2025 was $38.8 million, including non-cash charges of $63.9 million related to asset impairment[6] - Super Group raised its full-year Adjusted EBITDA guidance to $470-$480 million, with Ex-U.S. Adjusted EBITDA expected between $500-$510 million[10] - Revenue from North America for Q2 2025 was $199 million, accounting for 34% of total revenue[8] - The company ended Q2 2025 with $393 million in unrestricted cash and zero debt[5] - Total assets as of June 30, 2025, were $1.1 billion, with total liabilities of $454.4 million[6] Customer Metrics - Monthly Active Customers increased by 21% to 5.5 million in Q2 2025 compared to 4.5 million in Q2 2024[6] Shareholder Returns - The company returned $20 million to shareholders during the quarter, totaling $166 million in capital returns over the past 12 months[6] - Super Group intends to pay a dividend, with expectations regarding timing and market opportunity growth[25] Strategic Decisions - Super Group's decision to exit the U.S. market is aimed at enhancing capital efficiency and long-term profitability[3] Operational Risks - The company faces risks including changes in competitive and regulatory environments, which could impact financial projections[27] - The effectiveness of technological solutions to block customers in certain jurisdictions is a key operational concern[27] - Compliance with data protection and privacy laws is essential for Super Group's operations[27] - The company must manage risks associated with trading and pricing in the sports betting and gaming industry[27] Market Strategy - Super Group's ability to develop and market new products and services is crucial for maintaining and growing market share[27] - The company relies on strategic relationships with land-based casinos and other partners to enhance its market presence[27] - Super Group's success in online betting and gaming products will influence its overall performance[27] - Regulatory approvals related to acquisitions are necessary for successful integration of new businesses[27] Forward-Looking Statements - Super Group's forward-looking statements are subject to various uncertainties and should not be overly relied upon[26]

Group 1 - Super Group (SGHC) Limited closed at $11.05, reflecting a -3.41% change from the previous day, underperforming the S&P 500's 0.07% gain [1] - Prior to the latest trading session, shares of Super Group had increased by 12.82%, outperforming the Consumer Discretionary sector's gain of 4.6% and the S&P 500's gain of 5.71% [1] Group 2 - Super Group is set to announce its earnings on August 6, 2025, with projected earnings per share (EPS) of $0.13, indicating a 62.5% increase year-over-year [2] - Revenue is expected to reach $503 million, representing a 12.67% increase compared to the same quarter last year [2] Group 3 - For the annual period, the Zacks Consensus Estimates predict earnings of $0.47 per share and revenue of $2.05 billion, reflecting increases of +38.24% and +11.86% respectively from the previous year [3] Group 4 - Recent revisions to analyst forecasts for Super Group are important as they often indicate changes in short-term business dynamics, with upward revisions suggesting analyst confidence in the company's profitability [4] Group 5 - Research indicates that revisions in estimates correlate with stock price performance, and investors can utilize the Zacks Rank model to capitalize on these changes [5] Group 6 - The Zacks Rank system, ranging from 1 (Strong Buy) to 5 (Strong Sell), has a strong track record, with 1 rated stocks averaging an annual return of +25% since 1988; currently, Super Group has a Zacks Rank of 3 (Hold) [6] Group 7 - Super Group has a Forward P/E ratio of 24.34, which is a premium compared to the industry average Forward P/E of 22.76; the Gaming industry ranks in the top 33% of all industries according to the Zacks Industry Rank [7]

Core Viewpoint - Analyst recommendations play a significant role in influencing stock prices, but their reliability is questionable, particularly for Super Group (SGHC) Limited [1][5][10]. Brokerage Recommendations - Super Group (SGHC) has an average brokerage recommendation (ABR) of 1.17, indicating a consensus between Strong Buy and Buy, with 83.3% of recommendations being Strong Buy and 16.7% being Buy [2][14]. - The ABR is based on recommendations from six brokerage firms, with five recommending Strong Buy and one recommending Buy [2]. Limitations of Brokerage Recommendations - Studies indicate that brokerage recommendations have limited success in guiding investors towards stocks with the highest price increase potential [5]. - Analysts from brokerage firms often exhibit a strong positive bias due to vested interests, leading to a disproportionate number of Strong Buy recommendations compared to Strong Sell recommendations [6][10]. - The ABR may not be up-to-date, which can mislead investors regarding the actual price direction of a stock [12]. Zacks Rank as an Alternative - Zacks Rank categorizes stocks into five groups based on earnings estimate revisions, which have shown a strong correlation with near-term stock price movements [8][11]. - The Zacks Rank is updated more frequently than the ABR, making it a more timely indicator for predicting future stock prices [12]. - For Super Group (SGHC), the Zacks Consensus Estimate for the current year remains unchanged at $0.51, leading to a Zacks Rank of 3 (Hold) [13][14]. Investment Outlook for SGHC - The unchanged consensus estimate suggests that Super Group (SGHC) may perform in line with the broader market in the near term [13]. - Given the cautious outlook from the Zacks Rank, it may be prudent to approach the Buy-equivalent ABR for Super Group (SGHC) with caution [14].

Group 1 - Super Group (SGHC) Limited's stock closed at $10.97, reflecting a -1.17% change from the previous day, underperforming the S&P 500's gain of 0.52% [1] - The company's stock has increased by 27% over the past month, outperforming the Consumer Discretionary sector's gain of 5.55% and the S&P 500's gain of 4.27% [1] Group 2 - Super Group (SGHC) Limited is projected to report earnings of $0.12 per share, indicating a year-over-year growth of 50%, with a revenue estimate of $513.6 million, reflecting a 15.04% increase from the same quarter last year [2] - For the full year, earnings are estimated at $0.51 per share and revenue at $2.11 billion, representing changes of +50% and +15.1% respectively from the prior year [3] Group 3 - The Zacks Rank system currently rates Super Group (SGHC) Limited as 3 (Hold), with the consensus EPS estimate remaining unchanged over the last 30 days [6] - The company is trading at a Forward P/E ratio of 21.76, which is a premium compared to the industry average Forward P/E of 20.28 [7] Group 4 - The Gaming industry, which includes Super Group (SGHC) Limited, holds a Zacks Industry Rank of 152, placing it in the bottom 39% of over 250 industries [7] - Research indicates that estimate revisions are correlated with near-term share price momentum, suggesting that positive revisions may indicate an optimistic business outlook [5][4]