Inve US ▾
SGSGHC

Super Group (SGHC) Q1 FY26 earnings call: guidance and Q&A

Earnings call· Mar 2026 (Q1 FY26)· Consumer Discretionary· May 12, 2026

Source: earnings call transcript

Executive summary

Super Group Q1 FY26 — Record Revenue and Customer Growth Driven by Segment Strength

Super Group delivered a record-breaking Q1 FY26, marked by strong revenue and customer growth across its newly segmented Africa and International operations. The company reaffirmed its full-year guidance, citing confidence in its disciplined execution, product enhancements, and the upcoming World Cup, while strategically integrating recent acquisitions and leveraging AI for efficiency.

Highlights

5

  • Record total revenue of $612 million, up 18% year-over-year.

  • Adjusted EBITDA grew 36% to $152 million, expanding margin to 25%.

  • Average monthly active customers reached a record $6.4 million, an 18% increase year-over-year.

  • Africa segment revenue surged 53% year-over-year, with adjusted EBITDA up 21% to $98 million.

  • International segment adjusted EBITDA grew 26% to $73 million, driven by strong European performance.

Concerns

2

  • February experienced challenging sports outcomes due to customer-friendly results, impacting margins.

  • The UK tax effect is anticipated to be a $30 million hit (6% pre-mitigation of 2025 EBITDA).

Guidance & targets

CategoryTargetConfidence
Full-year 2026 Total Revenue
at least $2.55 billion
high materiality
High
Full-year 2026 Adjusted EBITDA
more than $680 million
high materiality
High

Segment performance

SegmentRevenueYoYQoQMargin
Africa
Delivered an excellent Q1 with strong revenue and adjusted EBITDA growth. Botswana continues to perform well, and actions in Nigeria are expected to strengthen growth.
Adjusted EBITDA: $98 millionAdjusted EBITDA growth: 21% YoYSports wagers growth: 33% YoYCasino wagers growth: 36% YoY
—53%—$98 million
International
Saw revenue growth driven by strong performance in Europe, particularly the UK and Ireland. North America (ex-U.S.) also contributed positively, with New Zealand showing encouraging growth after a prior decline.
Adjusted EBITDA: $73 millionAdjusted EBITDA growth: 26% YoYEuropean revenue growth: 18% YoYUK revenue growth: 29% YoYIreland growth: 13%North America (ex-U.S.) growth: 15%Canada (ex-Ontario) revenue growth: 16%Alberta revenue growth: 22% YoYRest of World revenue growth: 8%New Zealand growth: 6% YoY
—9%—$73 million

SGHC operating KPIs by quarter

SGHC operating KPIs stated on its earnings calls, by fiscal quarter
KPI Dec 2025 Q4 FY25This call Mar 2026 Q1 FY26 Jun 2026 Q2 FY26Change vs prior quarter
Monthly active customers
6.1M In addition, average monthly active customers reached an all-time high of 6.1 million for the quarter, a 16% jump from the same period in 2024. Source: earnings call transcript
6.4M Our margin expanded to 25% compared with 22% in the prior year period, driven by strong acquisition and retention strategies, average monthly active customers reached a record $6.4 million, up 18% year-over-year, with March setting a new monthly high of 6.5 million customers. Source: earnings call transcript
6.2M Average monthly active customers reached 6.2 million, up 13% year-over-year. Source: earnings call transcript
-3.1%

Operating figures the company stated on at least two of the calls shown, checked against each call's transcript. Click a figure to read the sentence. A dash means it was not stated that quarter.

Product announcements

ProductTypeDetails
Super Coin consumer walletlaunch

Deals & partnerships

Apricot Acquisition of intellectual property (IP) for the sportsbook and integration of development resources.

The transaction closed at the end of February, resulting in Super Group owning the sportsbook IP. Over 100 development resources supporting the sportsbook were moved over to Super Group's team.

Risks & headwinds

Challenging sports outcomes Q1 FY26 (February)

February was a particularly challenging month for sports due to customer-friendly outcomes.

Mitigation:Implemented targeted changes to materially improve margin resilience within promotional mechanics, pricing, and payout structures.

UK tax effect Starting April 1 (Q2 FY26 onwards)

Estimated 6% pre-mitigation impact on 2025 EBITDA, approximately $30 million hit.

Mitigation:Pulling multiple levers, including operating leverage and managing marketing spend. Expect marketing rates to come down across the industry.

Competitive environment in Ontario Ongoing

Increasingly competitive environment.

Mitigation:Achieved a post-regulation record for new customers through retention and product enhancements.

What to watch in Q2 FY26

World Cup Impact on Player Activity

Q2/Q3 FY26
Current Q1 FY26 momentum, 104 matches scheduled
Target Uplift in player activity and revenue in Q2/Q3 FY26

Why it matters

The World Cup is a significant catalyst expected to drive customer engagement and revenue, impacting the company's full-year performance.

How should we think about the potential uplift to both player activity and revenue during the tournament period.

Find out whether SGHC delivers this. Inve re-checks your case every morning.

Q&A highlights

Why did management reaffirm guidance instead of raising it, given the strong Q1 performance?

Management stated that they do not typically raise guidance this early in the year, emphasizing their focus on execution and delivering growth rather than finessing projections. They remain confident in their initial guidance.

“We've never increased guidance at this stage of the year. It's just not something we do so early on in the year. We obviously are focused, as you know, on executing and delivering growth, and we're not finessing projections and guidance. It's really the simple.”

asked by Michael Hickey · answered by Neal Menashe

2 min read 5 chapters

Detailed narrative

New Segment Reporting Structure

Super Group introduced a new reporting structure comprising two segments: Africa and International. This approach aims to provide deeper insights into the distinct operating models and growth potential across its four regions. Africa encompasses all revenue generated on the African continent, while International includes all revenue generated outside of Africa, with executive responsibilities remaining unchanged.

Super Coin Consumer Wallet Rollout

The phased rollout of the Super Coin consumer wallet commenced in mid-April with a soft beta launch for Bestway South Africa customers. The primary objective is to expand utility and gradually increase customer engagement across the ecosystem. A key milestone is anticipated late in the quarter with additional listings on OVEC and Vela, two of South Africa's largest exchanges, to enhance liquidity and accessibility.

Anticipated World Cup Impact

Management expressed strong confidence in customer engagement during the upcoming World Cup, noting that 40% of the countries Super Group operates in are participating, representing almost 88% of its 2025 revenue. The tournament features 104 matches, a 63% increase from the 2022 World Cup, which is expected to drive significant customer activity and cross-sell opportunities into the casino business, with a typical cross-sell rate of 60% to 70%.

Strategic Acquisitions and AI Integration

The Apricot transaction, which secured ownership of the sportsbook IP, closed at the end of February. This involved integrating over 100 development resources into Super Group's team, with expected cost savings and product enhancements in speed, flexibility, and efficiency. Additionally, the company is actively leveraging AI for risk control, development efficiency, and finance reconciliation, aiming for overall operational enhancement.

UK Tax Effect and Mitigation Strategies

The UK tax effect, which became effective on April 1, is estimated to result in a $30 million hit, representing 6% of 2025 EBITDA pre-mitigation. Management is implementing multiple levers, including operating leverage and strategic marketing management, to mitigate this impact. The company expects marketing rates to adjust across the industry as competitors adapt to the new tax environment.

Summary of the company's earnings call; see how call summaries are prepared. Not investment advice.