Super Group(SGHC)2025-02-25 16:04Financial Data and Key Metrics Changes - Total revenue excluding the US reached an all-time high of €1.66 billion, growing 18% year-over-year [8] - Adjusted EBITDA excluding the US also set a record at €391 million, a 53% year-over-year increase, with a margin of 24% [8] - For Q4, total revenue excluding the US grew 38% year-over-year to €487 million, while adjusted EBITDA grew 152% year-over-year to €129 million, achieving a margin of 26% [9] Business Line Data and Key Metrics Changes - The US business saw revenue grow by 64% year-over-year to €14 million in Q4, with total investment for the quarter at €11 million, bringing the full year total to €61 million [12][13] - The company set new customer records, including a daily record of just under 2.2 million customers and an average of 5.3 million unique monthly active customers [10] Market Data and Key Metrics Changes - Growth in existing markets was emphasized, with a focus on profitability in new markets [30] - The company is seeing good growth in several European markets, while Germany has not performed well due to regulatory issues [38] Company Strategy and Development Direction - The company aims to refine its global footprint and focus on key growth markets while enhancing product and technology [7] - A shift to an iGaming-only strategy in the US is expected to lead to reduced investment and a path to profitability [13] - The company plans to increase its minimum quarterly dividend target to 0.15 per share was announced, totaling over $125 million returned to shareholders [15] Q&A Session Summary Question: Marketing spend for 2025 - Management confirmed that marketing spend is budgeted at 23% of revenue for 2025, which is expected to yield good returns [22][23] Question: Dividend increase and future special dividends - Management expressed satisfaction with the increased quarterly dividend and indicated a desire to exceed last year's total dividend, contingent on business conditions [24][25] Question: Growth opportunities in key markets - Management stated that growth is primarily from existing markets, with a focus on sustained profitability and product enhancements [30][31] Question: 2025 revenue guidance and performance - Management clarified that the guidance reflects a double-digit increase in revenue and adjusted EBITDA for the ex-US business, despite a year-over-year growth step down [42][46] Question: Contribution of African assets - Management noted that the African sportsbook has been beneficial, with a focus on maintaining a high marketing budget to enhance market share [49][50] Question: Regulatory environment and potential acquisitions - Management indicated that they are assessing acquisition opportunities globally, focusing on tuck-in M&A across regulated landscapes [59]