Sun International experienced a 7.4% increase in group income during the first half of the year, attributed largely to the robust performance of its online division, SunBet. The group reported income of R6.58 billion ($411.9 million), excluding figures from the Table Bay Hotel, which is managed under an agreement with IHG.
In terms of adjusted EBITDA, the company saw a slight increase of 2%, totaling R1.59 billion for the period, which it classified as falling at the upper end of expectations.
The online brand SunBet’s revenue surged by 35.5% year-on-year, reaching R1.18 billion. Sun International's CEO, Ulrik Bengtsson, remarked that this growth outpaced the overall South African online market, which grew at a rate of 19% during the same period. SunBet's upward trajectory was further fueled by a 32.3% increase in active player days and a 17.5% rise in first-time depositors. The launch of an updated user interface in both South Africa and Botswana, supported by proprietary in-house technology, contributed to this growth.
Bengtsson described the progress and early indicators of success on the platform as encouraging, noting, "Growth continues to be driven by existing customers in slots and casino, although we are starting to broaden our offering through our sport business where recent momentum has been building."
While Sun International did not reveal SunBet's current share of the South African online market, the firm indicated plans back in March to double this share.
The company also reported that its land-based casino segment returned to growth for the first time in three years, with revenues gaining 1.5% to R3.42 billion. Sun International's share of the market increased by 2.3%, bringing it to 49%. This growth was attributed to significant investments in product development and marketing, with land-based gaming gross gaming revenue improving by 4.4%. The introduction of 876 new slot machines and stadium games was part of this strategy as well.
Despite this revenue uplift, gross profit from land-based operations fell by 0.7% to R2 billion, primarily due to increased marketing expenditures. Looking ahead, the company expressed confidence that ongoing digital and experience-led initiatives, combined with a low-cost operating model, would enhance performance, profitability, and market share over the medium term.
Hospitality revenue also reflected growth, climbing 2.8% to R1.29 billion, even with around R20 million in cancellations due to war-related issues.
Towards the latter part of the year, Sun International reported a strong start to its second half, with revenue growth ahead of projected ranges of 6% to 8%. The company has invested significantly, raising capital expenditures from R277 million to R492 million. Bengtsson noted, “We have executed one of the largest capability building projects in the company’s history and invested in marketing, customer-acquisition and market share gains in a very intentional way.” He added that adjusted EBITDA growth had accelerated compared to the first half of 2025.
The focus on efficiency is increasing, with plans for a more centralized, lower-cost operating model that takes the profitability of underperforming assets into consideration. Sun International has initiated a formal consultation process under Section 189A of South Africa’s Labour Relations Act, which addresses large-scale layoffs in companies with more than 50 employees.
Additionally, consultations are beginning in specific head office functions as the company implements productivity initiatives across the group. Sun International emphasized its commitment to ensuring fairness, transparency, and respect throughout this process, aiming to redeploy employees within the organization where possible.
In the same period, the company rolled out a new "Casino Lite" model designed to bolster profitability in its smaller, less-performing properties, focusing on enhancing adjusted EBITDA and operating margins through operational optimization in both gaming and hospitality sectors.
