New Risk • May 15
New minor risk - Dividend sustainability The company has an unstable dividend paying track record. The dividend has had an annual drop of over 20% in the past. Dividend yield: 3.3% This is considered a minor risk. If the company has cut or reduced its dividend in the past, it may be a sign that the underlying business is too cyclical to consistently maintain or grow the dividend over the long-term. It may also indicate the company prioritizes other outcomes instead of maintaining the dividend. For dividend paying companies, any reduction in the dividend can significantly impact the share price. Currently, the following risks have been identified for the company: Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Share price has been volatile over the past 3 months (7.7% average weekly change). Reported Earnings • May 14
Full year 2026 earnings released: EPS: R32.17 (vs R29.81 in FY 2025) Full year 2026 results: EPS: R32.17 (up from R29.81 in FY 2025). Revenue: R5.48b (up 20% from FY 2025). Net income: R993.9m (up 7.9% from FY 2025). Profit margin: 18% (down from 20% in FY 2025). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 14% p.a. on average during the next 2 years, compared to a 17% growth forecast for the Global Software industry. Over the last 3 years on average, earnings per share has increased by 20% per year whereas the company’s share price has increased by 21% per year. Aankondiging • May 05
Karooooo Ltd. to Report Q4, 2026 Results on May 13, 2026 Karooooo Ltd. announced that they will report Q4, 2026 results at 4:00 PM, US Eastern Standard Time on May 13, 2026 New Risk • May 05
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of South African stocks, typically moving 7.1% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. This is currently the only risk that has been identified for the company. Reported Earnings • Jan 21
Third quarter 2026 earnings released: EPS: R8.55 (vs R7.68 in 3Q 2025) Third quarter 2026 results: EPS: R8.55 (up from R7.68 in 3Q 2025). Revenue: R1.41b (up 22% from 3Q 2025). Net income: R264.1m (up 11% from 3Q 2025). Profit margin: 19% (down from 21% in 3Q 2025). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 12% p.a. on average during the next 3 years, compared to a 15% growth forecast for the Global Software industry. Over the last 3 years on average, earnings per share has increased by 22% per year whereas the company’s share price has increased by 25% per year. Aankondiging • Jan 12
Karooooo Ltd. to Report Q3, 2026 Results on Jan 20, 2026 Karooooo Ltd. announced that they will report Q3, 2026 results at 4:00 PM, US Eastern Standard Time on Jan 20, 2026 Reported Earnings • Oct 15
Second quarter 2026 earnings released: EPS: R7.88 (vs R6.85 in 2Q 2025) Second quarter 2026 results: EPS: R7.88 (up from R6.85 in 2Q 2025). Revenue: R1.34b (up 21% from 2Q 2025). Net income: R243.6m (up 15% from 2Q 2025). Profit margin: 18% (down from 19% in 2Q 2025). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 13% p.a. on average during the next 3 years, compared to a 14% growth forecast for the Global Software industry. Over the last 3 years on average, earnings per share has increased by 22% per year whereas the company’s share price has increased by 27% per year. Aankondiging • Oct 06
Karooooo Ltd. to Report Q2, 2026 Results on Oct 14, 2025 Karooooo Ltd. announced that they will report Q2, 2026 results at 4:00 PM, US Eastern Standard Time on Oct 14, 2025 Declared Dividend • Jul 25
Dividend of US$1.25 announced Shareholders will receive a dividend of US$1.25. Ex-date: 13th August 2025 Payment date: 18th August 2025 Dividend yield will be 0.1%, which is lower than the industry average of 0.8%. Sustainability & Growth Dividend is covered by earnings (71% earnings payout ratio) but not covered by cash flows (103% cash payout ratio). The dividend has increased by an average of 28% per year over the past 4 years and payments have been stable during that time. EPS is expected to grow by 12% over the next year, which should provide support to the dividend and adequate earnings cover. Reported Earnings • Jul 23
First quarter 2026 earnings released: EPS: R8.55 (vs R7.17 in 1Q 2025) First quarter 2026 results: EPS: R8.55 (up from R7.17 in 1Q 2025). Revenue: R1.28b (up 18% from 1Q 2025). Net income: R264.1m (up 19% from 1Q 2025). Profit margin: 21% (in line with 1Q 2025). Revenue is forecast to grow 16% p.a. on average during the next 3 years, compared to a 13% growth forecast for the Global Software industry. Over the last 3 years on average, earnings per share has increased by 22% per year but the company’s share price has increased by 31% per year, which means it is tracking significantly ahead of earnings growth. Aankondiging • Jul 14
Karooooo Ltd. to Report Q1, 2026 Results on Jul 22, 2025 Karooooo Ltd. announced that they will report Q1, 2026 results at 4:00 PM, US Eastern Standard Time on Jul 22, 2025 Board Change • Jul 01
Insufficient new directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 5 experienced directors. No highly experienced directors. CFO & Executive Director Hoe Goy was the last director to join the board, commencing their role in 2022. The company’s insufficient board refreshment is considered a risk according to the Simply Wall St Risk Model. Valuation Update With 7 Day Price Move • Jun 17
Investor sentiment deteriorates as stock falls 18% After last week's 18% share price decline to R849, the stock trades at a forward P/E ratio of 25x. Average forward P/E is 24x in the Software industry globally. Total returns to shareholders of 149% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at R523 per share. Aankondiging • Jun 13
Karooooo Ltd. has completed a Follow-on Equity Offering in the amount of $75 million. Karooooo Ltd. has completed a Follow-on Equity Offering in the amount of $75 million.
Security Name: Ordinary Shares
Security Type: Common Stock
Securities Offered: 1,500,000
Price\Range: $50
Discount Per Security: $2.5 New Risk • Jun 12
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of South African stocks, typically moving 8.5% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. This is currently the only risk that has been identified for the company. Aankondiging • Jun 12
Karooooo Ltd. has filed a Follow-on Equity Offering in the amount of $75 million. Karooooo Ltd. has filed a Follow-on Equity Offering in the amount of $75 million.
Security Name: Ordinary Shares
Security Type: Common Stock Aankondiging • Jun 10
Karooooo Ltd., Annual General Meeting, Jul 25, 2025 Karooooo Ltd., Annual General Meeting, Jul 25, 2025. Valuation Update With 7 Day Price Move • May 21
Investor sentiment improves as stock rises 23% After last week's 23% share price gain to R994, the stock trades at a forward P/E ratio of 30x. Average forward P/E is 24x in the Software industry globally. Total returns to shareholders of 197% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at R518 per share. Reported Earnings • May 15
Full year 2025 earnings released: EPS: R29.81 (vs R23.85 in FY 2024) Full year 2025 results: EPS: R29.81 (up from R23.85 in FY 2024). Revenue: R4.57b (up 8.6% from FY 2024). Net income: R921.0m (up 25% from FY 2024). Profit margin: 20% (up from 18% in FY 2024). The increase in margin was driven by higher revenue. Revenue is forecast to grow 13% p.a. on average during the next 2 years, compared to a 13% growth forecast for the Global Software industry. Over the last 3 years on average, earnings per share has increased by 22% per year but the company’s share price has increased by 30% per year, which means it is tracking significantly ahead of earnings growth. Aankondiging • May 05
Karooooo Ltd. to Report Q4, 2025 Results on May 14, 2025 Karooooo Ltd. announced that they will report Q4, 2025 results at 4:00 PM, US Eastern Standard Time on May 14, 2025 Reported Earnings • Jan 15
Third quarter 2025 earnings released: EPS: R7.68 (vs R6.34 in 3Q 2024) Third quarter 2025 results: EPS: R7.68 (up from R6.34 in 3Q 2024). Revenue: R1.16b (up 7.3% from 3Q 2024). Net income: R237.3m (up 21% from 3Q 2024). Profit margin: 21% (up from 18% in 3Q 2024). The increase in margin was driven by higher revenue. Revenue is forecast to grow 13% p.a. on average during the next 3 years, compared to a 12% growth forecast for the Global Software industry. Over the last 3 years on average, earnings per share has increased by 22% per year but the company’s share price has only increased by 14% per year, which means it is significantly lagging earnings growth. Aankondiging • Jan 08
Karooooo Ltd. to Report Q3, 2025 Results on Jan 14, 2025 Karooooo Ltd. announced that they will report Q3, 2025 results at 4:00 PM, US Eastern Standard Time on Jan 14, 2025 Aankondiging • Oct 17
Karooooo Ltd. Revises Earnings Guidance for the Year 2025 Karooooo Ltd. revised earnings guidance for the year 2025. For the year, the company revised Cartrack's number of subscribers expected to be between 2,300,000 and 2,400,000, previously 2,200,000 and 2,400,000. Cartrack's subscription revenue expected to be between ZAR 3,950 million and ZAR 4,150 million, previously ZAR 3,900 million and ZAR 4,150 million. Reported Earnings • Oct 15
Second quarter 2025 earnings released: EPS: R6.85 (vs R5.61 in 2Q 2024) Second quarter 2025 results: EPS: R6.85 (up from R5.61 in 2Q 2024). Revenue: R1.11b (up 6.4% from 2Q 2024). Net income: R211.5m (up 22% from 2Q 2024). Profit margin: 19% (up from 17% in 2Q 2024). The increase in margin was driven by higher revenue. Revenue is forecast to grow 10% p.a. on average during the next 3 years, compared to a 12% growth forecast for the Global Software industry. Over the last 3 years on average, earnings per share has increased by 21% per year but the company’s share price has only increased by 13% per year, which means it is significantly lagging earnings growth. Aankondiging • Oct 15
Karooooo Ltd. Announces Dividend Policy Karooooo Ltd.'s Board recognizes the importance of investment in achieving growth at scale, and endeavors to avoid swings in dividend profile. However, the payment and timing of dividends in cash or other distributions (such as a return of capital to shareholders through share buy-backs, for example) are determined by the Board after considering factors that include: earnings and free cash flow; current and anticipated capital requirements; economic conditions; contractual, legal, tax and regulatory restrictions (including covenants contained in any financing agreements); the ability of group subsidiaries to distribute funds to Karooooo; and such other factors the Board may deem relevant. Karooooo aims to reinvest retained earnings to the extent that it aligns with the group's required return on incrementally reinvested capital, return on equity, and short- to medium-term growth strategy. Subject to Karooooo's constitution and in accordance with the Singapore Companies Act, the Board may, without the approval of shareholders, declare and pay interim dividends. Any final dividends must be approved by an ordinary resolution at a general meeting of shareholders. The Board may review and amend the dividend policy from time to time. Buy Or Sell Opportunity • Oct 01
Now 27% undervalued Over the last 90 days, the stock has risen 13% to R646. The fair value is estimated to be R886, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 21% over the last 3 years. Earnings per share has grown by 19%. Revenue is forecast to grow by 8.4% in a year. Earnings are forecast to grow by 15% in the next year. Aankondiging • Sep 30
Karooooo Ltd. to Report Q2, 2025 Results on Oct 14, 2024 Karooooo Ltd. announced that they will report Q2, 2025 results at 4:00 PM, US Eastern Standard Time on Oct 14, 2024 Valuation Update With 7 Day Price Move • Jul 31
Investor sentiment improves as stock rises 18% After last week's 18% share price gain to R690, the stock trades at a forward P/E ratio of 22x. Average forward P/E is 19x in the Software industry globally. Total returns to shareholders of 39% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at R738 per share. Upcoming Dividend • Jul 30
Upcoming dividend of US$1.08 per share Eligible shareholders must have bought the stock before 06 August 2024. Payment date: 12 August 2024. The company is paying out more than 100% of its earnings and cash flow. Trailing yield: 3.1%. Lower than top quartile of South African dividend payers (8.6%). Higher than average of industry peers (0.8%). Aankondiging • Jul 27
Karooooo Ltd. has withdrawn its Follow-on Equity Offering. Karooooo Ltd. has withdrawn its Follow-on Equity Offering.
Security Name: Ordinary Shares
Security Type: Common Stock Aankondiging • Jul 26
Karooooo Ltd. has filed a Follow-on Equity Offering. Karooooo Ltd. has filed a Follow-on Equity Offering.
Security Name: Ordinary Shares
Security Type: Common Stock Reported Earnings • Jul 19
First quarter 2025 earnings released: EPS: R7.17 (vs R5.09 in 1Q 2024) First quarter 2025 results: EPS: R7.17 (up from R5.09 in 1Q 2024). Revenue: R1.08b (up 8.5% from 1Q 2024). Net income: R221.6m (up 41% from 1Q 2024). Profit margin: 21% (up from 16% in 1Q 2024). The increase in margin was driven by higher revenue. Revenue is forecast to grow 9.9% p.a. on average during the next 3 years, compared to a 12% growth forecast for the Global Software industry. Over the last 3 years on average, earnings per share has increased by 19% per year but the company’s share price has only increased by 4% per year, which means it is significantly lagging earnings growth. Aankondiging • Jul 17
Karooooo Ltd., Annual General Meeting, Aug 29, 2024 Karooooo Ltd., Annual General Meeting, Aug 29, 2024, at 12:00 Singapore Standard Time. Aankondiging • Jul 16
Karooooo Ltd. to Report Q1, 2025 Results on Jul 18, 2024 Karooooo Ltd. announced that they will report Q1, 2025 results at 4:00 PM, US Eastern Standard Time on Jul 18, 2024 Valuation Update With 7 Day Price Move • Jul 01
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to R539, the stock trades at a forward P/E ratio of 19x. Average forward P/E is 19x in the Software industry globally. Total returns to shareholders of 8.8% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at R551 per share. Buy Or Sell Opportunity • Jul 01
Now 2.1% undervalued Over the last 90 days, the stock has risen 9.2% to R539. The fair value is estimated to be R551, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 21% over the last 3 years. Earnings per share has grown by 16%. Revenue is forecast to grow by 20% in 2 years. Earnings are forecast to grow by 40% in the next 2 years. Buy Or Sell Opportunity • Jun 21
Now 21% overvalued after recent price rise Over the last 90 days, the stock has risen 16% to R598. The fair value is estimated to be R493, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 21% over the last 3 years. Earnings per share has grown by 16%. Revenue is forecast to grow by 20% in 2 years. Earnings are forecast to grow by 40% in the next 2 years. Reported Earnings • Jun 18
Full year 2024 earnings released: EPS: R23.85 (vs R19.29 in FY 2023) Full year 2024 results: EPS: R23.85 (up from R19.29 in FY 2023). Revenue: R4.21b (up 20% from FY 2023). Net income: R738.2m (up 24% from FY 2023). Profit margin: 18% (in line with FY 2023). Revenue is forecast to grow 9.1% p.a. on average during the next 2 years, compared to a 13% growth forecast for the Global Software industry. Over the last 3 years on average, earnings per share has increased by 16% per year but the company’s share price has only increased by 5% per year, which means it is significantly lagging earnings growth. Valuation Update With 7 Day Price Move • Jun 13
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to R650, the stock trades at a forward P/E ratio of 23x. Average forward P/E is 20x in the Software industry globally. Total returns to shareholders of 27% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at R475 per share. Buy Or Sell Opportunity • Jun 12
Now 23% overvalued after recent price rise Over the last 90 days, the stock has risen 18% to R590. The fair value is estimated to be R480, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 21% over the last 3 years. Earnings per share has grown by 16%. Revenue is forecast to grow by 20% in 2 years. Earnings are forecast to grow by 40% in the next 2 years. Buy Or Sell Opportunity • May 20
Now 23% undervalued Over the last 90 days, the stock has risen 2.5% to R528. The fair value is estimated to be R684, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 21% over the last 3 years. Earnings per share has grown by 16%. Revenue is forecast to grow by 20% in 2 years. Earnings are forecast to grow by 43% in the next 2 years. Reported Earnings • May 17
Full year 2024 earnings released: EPS: R23.85 (vs R19.29 in FY 2023) Full year 2024 results: EPS: R23.85 (up from R19.29 in FY 2023). Revenue: R4.21b (up 20% from FY 2023). Net income: R738.2m (up 24% from FY 2023). Profit margin: 18% (in line with FY 2023). Revenue is forecast to grow 9.0% p.a. on average during the next 2 years, compared to a 13% growth forecast for the Global Software industry. Over the last 3 years on average, earnings per share has increased by 16% per year but the company’s share price has only increased by 4% per year, which means it is significantly lagging earnings growth. Aankondiging • May 17
Karooooo Ltd. Provides Earnings Guidance for the Full Year 2025 Karooooo Ltd. provided earnings guidance for the full year 2025. The Company expects revenue between ZAR 3,900 million and ZAR 4,150 million, operating profit margin between 27% and 31% and Earnings Per Share between ZAR 27.50 per share and ZAR 31.00 per share. Aankondiging • May 08
Karooooo Ltd. to Report Q4, 2024 Results on May 15, 2024 Karooooo Ltd. announced that they will report Q4, 2024 results at 4:00 PM, Eastern Standard Time on May 15, 2024 Valuation Update With 7 Day Price Move • Apr 25
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to R590, the stock trades at a forward P/E ratio of 22x. Average forward P/E is 19x in the Software industry globally. Total returns to shareholders of 1.4% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at R554 per share. Reported Earnings • Jan 23
Third quarter 2024 earnings released: EPS: R6.34 (vs R4.70 in 3Q 2023) Third quarter 2024 results: EPS: R6.34 (up from R4.70 in 3Q 2023). Revenue: R1.08b (up 16% from 3Q 2023). Net income: R196.3m (up 35% from 3Q 2023). Profit margin: 18% (up from 16% in 3Q 2023). The increase in margin was driven by higher revenue. Revenue is forecast to grow 8.5% p.a. on average during the next 3 years, compared to a 12% growth forecast for the Global Software industry. Aankondiging • Jan 05
Karooooo Ltd. to Report Q3, 2024 Results on Jan 22, 2024 Karooooo Ltd. announced that they will report Q3, 2024 results at 4:00 PM, US Eastern Standard Time on Jan 22, 2024 New Risk • Nov 24
New major risk - Share price stability The company's share price has been highly volatile over the past 3 months. It is more volatile than 90% of South African stocks, typically moving 15% a week. This is considered a major risk. Share price volatility increases the risk of potential losses in the short-term as the stock tends to have larger drops in price more frequently than other stocks. It may also indicate the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. This is currently the only risk that has been identified for the company. Valuation Update With 7 Day Price Move • Nov 22
Investor sentiment improves as stock rises 30% After last week's 30% share price gain to R624, the stock trades at a forward P/E ratio of 19x. Average forward P/E is 30x in the Software industry globally. Total returns to shareholders of 45% over the past year. Simply Wall St's valuation model estimates the intrinsic value at R704 per share. Buying Opportunity • Oct 27
Now 22% undervalued after recent price drop Over the last 90 days, the stock is down 4.5%. The fair value is estimated to be R547, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 22% over the last 3 years. Earnings per share has grown by 11%. Revenue is forecast to grow by 20% in 2 years. Earnings is forecast to grow by 47% in the next 2 years. New Risk • Oct 16
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of South African stocks, typically moving 7.4% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. This is currently the only risk that has been identified for the company. Aankondiging • Oct 12
Karooooo Ltd. Reaffirms Subscription Revenue Guidance for the Fiscal Year 2024 Karooooo Ltd. reaffirmed subscription revenue guidance for the fiscal year 2024. For the year, the company remains expects subscription revenue between ZAR 3,400 million and ZAR 3,600 million. Reported Earnings • Oct 12
Second quarter 2024 earnings released: EPS: R5.61 (vs R4.93 in 2Q 2023) Second quarter 2024 results: EPS: R5.61 (up from R4.93 in 2Q 2023). Revenue: R1.04b (up 21% from 2Q 2023). Net income: R173.7m (up 14% from 2Q 2023). Profit margin: 17% (down from 18% in 2Q 2023). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 11% p.a. on average during the next 3 years, compared to a 12% growth forecast for the Global Software industry. Aankondiging • Sep 30
Karooooo Ltd. to Report Q2, 2024 Results on Oct 11, 2023 Karooooo Ltd. announced that they will report Q2, 2024 results at 4:00 PM, US Eastern Standard Time on Oct 11, 2023 Buying Opportunity • Sep 27
Now 20% undervalued after recent price drop Over the last 90 days, the stock is down 3.4%. The fair value is estimated to be R533, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 22% over the last 3 years. Earnings per share has grown by 10%. Revenue is forecast to grow by 29% in 2 years. Earnings is forecast to grow by 42% in the next 2 years. Aankondiging • Sep 06
Karooooo Ltd. Announces Interim Dividend for the 2024 Financial Year, Payable on July 3, 2023 Karooooo Ltd. announced interim dividend of 85 U.S. cents per ordinary share, pertaining to the first quarter of the company's 2024 financial year, will be paid on July 3, 2023, to shareholders on record as at the close of business on June 23, 2023. Shares commence trading Ex-dividend to be June 22, 2023 for NASDAQ and June 21, 2023 for JSE. Reported Earnings • Jul 20
First quarter 2024 earnings released: EPS: R5.09 (vs R4.96 in 1Q 2023) First quarter 2024 results: EPS: R5.09 (up from R4.96 in 1Q 2023). Revenue: R996.8m (up 24% from 1Q 2023). Net income: R157.5m (up 2.6% from 1Q 2023). Profit margin: 16% (down from 19% in 1Q 2023). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 12% p.a. on average during the next 2 years, compared to a 12% growth forecast for the Global Software industry. Aankondiging • Jul 06
Karooooo Ltd. to Report Q1, 2024 Results on Jul 19, 2023 Karooooo Ltd. announced that they will report Q1, 2024 results After-Market on Jul 19, 2023 Reported Earnings • Jun 16
Full year 2023 earnings released: EPS: R19.29 (vs R15.24 in FY 2022) Full year 2023 results: EPS: R19.29 (up from R15.24 in FY 2022). Revenue: R3.51b (up 28% from FY 2022). Net income: R597.2m (up 33% from FY 2022). Profit margin: 17% (in line with FY 2022). Revenue is forecast to grow 15% p.a. on average during the next 2 years, compared to a 12% growth forecast for the Global Software industry. Aankondiging • Jun 14
Karooooo Ltd., Annual General Meeting, Jul 12, 2023 Karooooo Ltd., Annual General Meeting, Jul 12, 2023, at 12:00 South Africa Standard Time. Upcoming Dividend • Jun 14
Upcoming dividend of R16.10 per share at 3.6% yield Eligible shareholders must have bought the stock before 21 June 2023. Payment date: 03 July 2023. Trailing yield: 3.6%. Lower than top quartile of South African dividend payers (9.5%). In line with average of industry peers (3.7%). Reported Earnings • May 09
Full year 2023 earnings released: EPS: R19.29 (vs R15.24 in FY 2022) Full year 2023 results: EPS: R19.29 (up from R15.24 in FY 2022). Revenue: R3.51b (up 28% from FY 2022). Net income: R597.2m (up 33% from FY 2022). Profit margin: 17% (in line with FY 2022). Revenue is forecast to grow 16% p.a. on average during the next 2 years, compared to a 12% growth forecast for the Global Software industry. Reported Earnings • Jan 23
Third quarter 2023 earnings released: EPS: R4.70 (vs R4.72 in 3Q 2022) Third quarter 2023 results: EPS: R4.70 (down from R4.72 in 3Q 2022). Revenue: R930.0m (up 29% from 3Q 2022). Net income: R145.6m (flat on 3Q 2022). Profit margin: 16% (down from 20% in 3Q 2022). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 20% p.a. on average during the next 3 years, compared to a 13% growth forecast for the Global Software industry. Buying Opportunity • Jan 04
Now 21% undervalued after recent price drop Over the last 90 days, the stock is down 10%. The fair value is estimated to be R499, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 18% over the last 3 years. Earnings per share has grown by 5.5%. For the next 3 years, revenue is forecast to grow by 21% per annum. Earnings is also forecast to grow by 18% per annum over the same time period. Buying Opportunity • Dec 20
Now 21% undervalued after recent price drop Over the last 90 days, the stock is down 7.4%. The fair value is estimated to be R517, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 18% over the last 3 years. Earnings per share has grown by 5.5%. For the next 3 years, revenue is forecast to grow by 21% per annum. Earnings is also forecast to grow by 18% per annum over the same time period. Aankondiging • Dec 08
Karooooo Ltd. to Report Q3, 2023 Results on Jan 19, 2023 Karooooo Ltd. announced that they will report Q3, 2023 results at 4:00 PM, US Eastern Standard Time on Jan 19, 2023 Buying Opportunity • Nov 25
Now 25% undervalued after recent price drop Over the last 90 days, the stock is down 5.1%. The fair value is estimated to be R543, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 25% over the last year. Earnings per share has grown by 21%. For the next 3 years, revenue is forecast to grow by 22% per annum. Earnings is also forecast to grow by 18% per annum over the same time period. Board Change • Nov 16
High number of new and inexperienced directors There are 4 new directors who have joined the board in the last 3 years. The company's board is composed of: 4 new directors. 1 experienced director. No highly experienced directors. Founder, CEO & Executive Chairman Zak Calisto is the most experienced director on the board, commencing their role in 2018. The company’s lack of experienced directors is considered a risk according to the Simply Wall St Risk Model. Reported Earnings • Oct 13
Second quarter 2023 earnings released: EPS: R4.93 (vs R3.85 in 2Q 2022) Second quarter 2023 results: EPS: R4.93 (up from R3.85 in 2Q 2022). Revenue: R859.3m (up 30% from 2Q 2022). Net income: R152.5m (up 28% from 2Q 2022). Profit margin: 18% (in line with 2Q 2022). Revenue is forecast to grow 16% p.a. on average during the next 3 years, compared to a 14% growth forecast for the Global Software industry. Board Change • Aug 01
High number of new and inexperienced directors There are 5 new directors who have joined the board in the last 3 years. The company's board is composed of: 5 new directors. 1 experienced director. No highly experienced directors. Founder, CEO & Executive Chairman Zak Calisto is the most experienced director on the board, commencing their role in 2018. The following issues are considered to be risks according to the Simply Wall St Risk Model: Lack of board continuity. Lack of experienced directors. Reported Earnings • Jul 28
First quarter 2023 earnings released: EPS: R4.96 (vs R3.49 in 1Q 2022) First quarter 2023 results: EPS: R4.96 (up from R3.49 in 1Q 2022). Revenue: R801.4m (up 28% from 1Q 2022). Net income: R153.5m (up 74% from 1Q 2022). Profit margin: 19% (up from 14% in 1Q 2022). The increase in margin was driven by higher revenue. Over the next year, revenue is forecast to grow 17%, compared to a 20% growth forecast for the industry in South Africa. Buying Opportunity • Jul 08
Now 23% undervalued after recent price drop Over the last 90 days, the stock is down 25%. The fair value is estimated to be R443, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 15% over the last 3 years. Earnings per share has grown by 12%. Revenue is forecast to grow by 41% in 2 years. Earnings is forecast to grow by 52% in the next 2 years. Board Change • Jul 02
High number of new and inexperienced directors There are 5 new directors who have joined the board in the last 3 years. The company's board is composed of: 5 new directors. 1 experienced director. No highly experienced directors. Founder, CEO & Executive Chairman Zak Calisto is the most experienced director on the board, commencing their role in 2018. The following issues are considered to be risks according to the Simply Wall St Risk Model: Lack of board continuity. Lack of experienced directors. Buying Opportunity • Jun 17
Now 23% undervalued after recent price drop Over the last 90 days, the stock is down 23%. The fair value is estimated to be R461, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 15% over the last 3 years. Earnings per share has grown by 12%. Revenue is forecast to grow by 41% in 2 years. Earnings is forecast to grow by 52% in the next 2 years. Reported Earnings • Jun 10
Full year 2022 earnings released Full year 2022 results: Revenue: R2.75b (up 20% from FY 2021). Net income: R450.0m (up 41% from FY 2021). Profit margin: 16% (up from 14% in FY 2021). The increase in margin was driven by higher revenue. Over the next year, revenue is forecast to grow 18%, compared to a 26% growth forecast for the industry in South Africa. Price Target Changed • May 03
Price target decreased to R585 Down from R635, the current price target is an average from 6 analysts. New target price is 22% above last closing price of R480. Stock is down 20% over the past year. The company is forecast to post earnings per share of R17.80 for next year compared to R15.24 last year. Reported Earnings • Apr 28
Full year 2022 earnings released: EPS: R15.24 (vs R15.65 in FY 2021) Full year 2022 results: EPS: R15.24. Revenue: R2.75b (up 20% from FY 2021). Net income: R450.0m (up 41% from FY 2021). Profit margin: 16% (up from 14% in FY 2021). The increase in margin was driven by higher revenue. Over the next year, revenue is forecast to grow 19%, compared to a 37% growth forecast for the industry in South Africa. Board Change • Apr 27
High number of new and inexperienced directors There are 4 new directors who have joined the board in the last 3 years. The company's board is composed of: 4 new directors. 1 experienced director. No highly experienced directors. Founder, CEO & Director Zak Calisto is the most experienced director on the board, commencing their role in 2018. The company’s lack of experienced directors is considered a risk according to the Simply Wall St Risk Model. Aankondiging • Jan 20
Karooooo Ltd. Reiterates Earnings Guidance for the Full Year 2021 Karooooo Ltd. reiterated earnings guidance for the full year 2021. For the year, the company expected subscription revenue to be between ZAR 2.5 million to ZAR 2.7 million. Reported Earnings • Jan 19
Third quarter 2022 earnings: EPS in line with analyst expectations despite revenue beat Third quarter 2022 results: EPS: R4.72 (up from R4.30 in 3Q 2021). Revenue: R719.5m (up 22% from 3Q 2021). Net income: R146.2m (up 67% from 3Q 2021). Profit margin: 20% (up from 15% in 3Q 2021). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 2.9%. Over the next year, revenue is forecast to grow 17%, compared to a 162% growth forecast for the industry in South Africa. Reported Earnings • Oct 15
Second quarter 2022 earnings released: EPS R3.85 (vs R4.30 in 2Q 2021) The company reported a strong second quarter result with improved earnings, revenues and profit margins. Second quarter 2022 results: Revenue: R658.8m (up 12% from 2Q 2021). Net income: R119.1m (up 36% from 2Q 2021). Profit margin: 18% (up from 15% in 2Q 2021). The increase in margin was driven by higher revenue. Aankondiging • Sep 14
Karooooo Ltd. (NasdaqCM:KARO) acquired 70.1% stake in Picup Technologies (Pty) Ltd. for ZAR 70 million. Karooooo Ltd. (NasdaqCM:KARO) acquired 70.1% stake in Picup Technologies (Pty) Ltd. for ZAR 70 million on September 13, 2021. In July 31, 2021, Picup Technologies reported a total revenues of ZAR 79 million. Post deal completion, Antonio Bruni, Founder and Chief Executive Officer of Picup, and the management team, will remain invested with a 29.9% stake in Picup. Zak Calisto, Chief Executive Officer and Founder of Karooooo, is appointed as Interim Chairman, with SK Lim as Lead Independent Director, TMA Leong as Chair of the Compensation and K White as Member of the Audit of Picup Technologies.
Karooooo Ltd. (NasdaqCM:KARO) completed the acquisition of 70.1% stake in Picup Technologies (Pty) Ltd. on September 13, 2021. Valuation Update With 7 Day Price Move • Sep 10
Investor sentiment deteriorated over the past week After last week's 16% share price decline to R425, the stock trades at a forward P/E ratio of 29x. Average forward P/E is 34x in the Software industry globally. Board Change • Sep 02
High number of new and inexperienced directors There are 4 new directors who have joined the board in the last 3 years. The company's board is composed of: 4 new directors. 1 experienced director. No highly experienced directors. Founder, CEO & Director Zak Calisto is the most experienced director on the board, commencing their role in 2018. The company’s lack of experienced directors is considered a risk according to the Simply Wall St Risk Model. Aankondiging • Aug 24
One Spire (Pty) Ltd. acquired 9.7% stake in Karooooo Ltd. (NasdaqCM:KARO) from Georgem Holdings (Pty) Ltd. for ZAR 1.3 billion. One Spire (Pty) Ltd. signed an agreement to acquire 9.7% stake in Karooooo Ltd. (NasdaqCM:KARO) from Georgem Holdings (Pty) Ltd. for ZAR 1.3 billion on August 16, 2021. As part of the agreement, One Spire agreed to acquire, as an off-market trade, 3,000,000 Ordinary Shares held by Georgem at a purchase price of ZAR 420 per Ordinary Share. The transaction is subject to the consummation of a subscription agreement between purchaser, the seller and Een Pte. Limited in terms of which the Seller and Een Pte, shall, collectively, subscribe for 900 ordinary shares in the purchaser, and other customary closing conditions.
One Spire (Pty) Ltd. completed the acquisition of 9.7% stake in Karooooo Ltd. (NasdaqCM:KARO) from Georgem Holdings (Pty) Ltd. on August 23, 2021. Executive Departure • Aug 04
Independent Chairman David Brown has left the company On the 31st of July, David Brown's tenure as Independent Chairman ended after less than a year in the role. We don't have any record of a personal shareholding under David's name. A total of 2 executives have left over the last 12 months. Executive Departure • Aug 04
Independent Director Brett Thomas Nagle has left the company On the 31st of July, Brett Thomas Nagle's tenure as Independent Director ended after less than a year in the role. We don't have any record of a personal shareholding under Brett Thomas' name. A total of 2 executives have left over the last 12 months. Reported Earnings • Jun 30
Full year 2021 earnings released The company reported a solid full year result with improved earnings and revenues, although profit margins were flat. Full year 2021 results: Revenue: R2.29b (up 18% from FY 2020). Net income: R318.2m (up 9.8% from FY 2020). Profit margin: 14% (in line with FY 2020). Reported Earnings • May 08
Full year 2021 earnings released: EPS R15.65 (vs R14.26 in FY 2020) The company reported a solid full year result with improved earnings and revenues, although profit margins were flat. Full year 2021 results: Revenue: R2.29b (up 18% from FY 2020). Net income: R318.2m (up 9.8% from FY 2020). Profit margin: 14% (in line with FY 2020).