Karooooo Posts 25% Constant-Currency Growth, Record ZAR422M Operating Profit
KARO sits 41% above its 52-week low of $41.25.
Summary
Q2 FY2027 revenue grew 25% in constant currency, with Cartrack subscription revenue up 20% to ZAR1,415 million and 23% in constant currency — accelerating from 21% in Q1 and landing in the upper half of the 18-24% FY2027 outlook. Operating profit hit a record ZAR422 million, up 19% year over year despite a stronger rand, and EPS rose 18% to ZAR9.28. Subscribers climbed 18% to 2.9 million on a record 94,516 net adds for a second quarter, while ARR reached ZAR5,708 million (+19% in rand, +30% in USD to USD354 million). The one soft spot is adjusted EPS growth of 12%, lagging the top line. This follows the 6-K filed minutes earlier with the same figures and comes after a stretch of heavy CEO selling in July and August that had weighed on sentiment.
At the time of this announcement, KARO was trading at $58.00 on NASDAQ in the Technology sector, with a market capitalization of approximately $1.9B. The 52-week trading range was $41.25 to $68.80. This news item was assessed with positive market sentiment and an importance score of 8 out of 10. Source: BusinessWire.