Sun International predicts strong profit growth from strategy implementation

Sun International\'s new Zambezi Sun , Victoria Falls, Zambia. In a trading statement released on Friday, the group said basic earnings per share for the financial year was expected to be a profit of between 211 cents and 234 cents, which equates to an improvement of more than 100% when compared to the prior year’s profit of 105 cents per share.

Sun International\'s new Zambezi Sun , Victoria Falls, Zambia. In a trading statement released on Friday, the group said basic earnings per share for the financial year was expected to be a profit of between 211 cents and 234 cents, which equates to an improvement of more than 100% when compared to the prior year’s profit of 105 cents per share.

Published Mar 6, 2023

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Sun International said successful execution of its strategy last year yielded excellent results, resulting in strong growth in revenue, earnings and significant reduction in group debt, boosted by casino income.

In a trading statement released on Friday, the group said basic earnings per share for the financial year was expected to be a profit of between 211 cents and 234 cents, which equates to an improvement of more than 100% when compared to the prior year’s profit of 105 cents per share.

Headline earnings per share were expected to be between 213 cents and 237 cents, which equates to an improvement of more than 100% when compared to the prior year’s headline earnings profit of 106 cents per share.

Adjusted headline earnings per share were expected to be a profit of between 415 cents and 461 cents, which equates to an improvement of more than 100% when compared to the prior year’s profit of 44 cents per share.

"The primary difference between headline earnings and adjusted headline earnings relates to a change in estimated redemption value of the SunWest put option liability of R510 million," it said.

Sun International said its urban casino's income rebounded with strong growth in income and improved margins.

"Our hotels and resorts, especially Sun City, had an exceptional second half, SunSlots continued its strong performance, while SunBet achieved exceptional growth in revenue and its key metrics," the group said.

Sun International expects to release its full-year results on March 13, 2023.

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