Karooooo Reports Its Fourth Quarter and Full Year 2022 Results

SINGAPORE--(BUSINESS WIRE)--Karooooo Limited (“Karooooo”), that owns 100% of Cartrack, 100% of Carzuka and 70.1% of Picup, today reported results for the fourth quarter and full year of its financial year ended February 28, 2022 (“2022”).

“In our first year as a NASDAQ listed company, we are pleased with our resilience and execution, delivering another quarter of strong subscriber growth, contributing to our subscriber base increasing by 17% in 2022 despite the persistent challenging operating environment. We made good inroads in delivering on our core strategic priorities, building for relevance and sustainability. As a technology partner, we continue to improve our platform and enhance our value proposition to our customers, giving them a competitive advantage in the dynamic and challenging environment they operate in.

Total revenue for 2022 is up 20% which equates to a 23% increase on a constant currency basis (a non-IFRS measure). Our decade-plus track record of growth, sustained profitability and a highly cash-generative business model, coupled with consistent innovation and strong customer acquisition, continues. At the end of 2022 we had more than 88,000 commercial customers.

We are excited about what we have built and continue to build. Our evolving end-to-end all-inclusive IoT platform, vertically integrated business model, established infrastructure, expanding distribution network and ability to execute and scale gives me comfort that we can continue scaling our customer base.

Execution on core strategic priorities in 2022 included the expansion of partnerships with Original Equipment Manufacturers which are a springboard for future collaboration, given our shared commitment to continually enhance the distinctive value proposition we offer our customers.

Our disciplined approach to capital allocation allows us to be profitable and highly cash-generative. Plenty of runway exists to remain profitable should we accelerate our revenue growth rate in excess of our average historical growth rate.

Karooooo reported a net cash and cash equivalents balance of ZAR718 million at the end of 2022 (2021: ZAR76 million) after raising ZAR349 million of net proceeds when Karooooo listed on the NASDAQ in April 2021 and after paying ZAR70 million when acquiring Picup in September 2021. Given our profitability, inherently cash-generative business model and our strong balance sheet, the board declared a dividend of 60 U.S. cents per share which shall be payable entirely out of Karooooo’s retained earnings.“ Zak Calisto, CEO and Founder.

Full release and webinar details at https://www.karooooo.com/