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Investment Proposition

We have a compelling investment opportunity with significant potential for scale, growth and returns.

In delivering on our strategic performance, the group focuses on its profitability; strong cash generation; sustainable growth; shareholder returns; supported by Sustaining Sun as depicted alongside.

Delivering on our investment proposition

SUSTAINABLE GROWTH

  • Group income shows sustained growth
  • Another record growth year for SunBet ahead of its 5-year target
  • Protected strong urban casino market share
  • Increased revenue and profit contribution from hotels and resorts

PROFITABILITY

  • SunBet achieved an adjusted EBITDA margin of 30.2% up from 12.4%
  • SunBet marketing resulted in sign-ups per day increasing from c.450 thousand to nearly 2 000 sign-ups with 176 thousand first time depositors
  • Achieved record earnings from Sun City with adjusted EBITDA margin improvement from 17.8% to 24.2%
  • Adjusted headline earnings per share (AHEPS) up 5.9% to 468cps

STRONG CASH GENERATION

  • Cash generated by operations to free cash conversion (post capex) of 65.4%
  • Adjusted EBITDA to cash generated by operations conversion of 107%
  • Debt within target levels on the back of increased profitability and disciplined capital allocation
  • Net debt: adjusted EBITDA below the 2x long-term target at 1.7x

SHAREHOLDER RETURNS

  • Dividend pay-out ratio maintained at 75% of AHEPS
  • 148cps interim cash dividend paid
  • Final dividend of 203cps declared
  • Total dividend of 351cps compared to 329cps in 2022

SCALING THE GROUP

  • Scaling the group through the proposed acquisition of Peermont
  • Expected to rapidly degear, while dividend is maintained
  • Overall improved cash flow generation and lower pro-forma combined cost of funding
  • Improved capital markets visibility

SUSTAINING SUN

  • ESG strategy embedded within the business
  • First Sustainable Linked Loan in our industry in South Africa
  • Skilled and passionate people

Attracting and retaining customers

  • Strong brand loyalty
  • Quality portfolio base with iconic properties
  • Innovative rewards programme
  • Informative customer data
  • Enhanced customer relations management approach

Alternative energy strategy in place

Brand enhanced through external recognition

  • Achieved first place in the South African Breweries Beyond Awards - Sustainability Report Of The Year
  • Received the Gender Iconic Standard Bank Top Women Awards
Operating as a responsible corporate citizen with an embedded ESG strategy