Zak Calisto, a prominent South African entrepreneur and the visionary behind Karooooo Limited, is on the verge of earning a handsome dividend of $17.3 million. This substantial sum comes as a result of his majority ownership in Karooooo, a dynamic mobility platform headquartered in Singapore.
Karooooo, a leading enterprise in the mobility sector, proudly stands as the sole proprietor of Cartrack. Cartrack specializes in delivering cutting-edge solutions for smart transportation, offering real-time mobility data analytics.
Karooooo’s financial records
Karooooo has released impressive financial results for its fourth quarter (Q4 2023) concluding on February 28, 2023. Demonstrating remarkable performance, the company achieved substantial growth in its total revenue for the full year (FY 2023), reaching $190 million—a notable increase of 28 percent compared to the previous fiscal year’s revenue of $148.9 million.
Additionally, Karooooo experienced a commendable 17 percent growth in subscription revenue, which amounted to $163 million for FY 2023, surpassing the previous fiscal year’s subscription revenue of $139 million.
Karooooo’s earnings per share showed robust growth, with a 51% increase to $0.25 in Q4 2023 (compared to $0.17 in Q4 2022) and a 27% increase to $1.05 for FY 2023 (compared to $0.83 in FY 2022).
In FY 2023, Karooooo experienced a remarkable 44% increase in free cash flow, reaching an all-time high of $29 million, compared to $20.55 million in FY 2022.
Furthermore, Cartrack, operating under Karooooo, achieved an expanded operating profit margin of 30% for FY 2023, surpassing the previous year’s margin of 27%.
Karooooo, bolstered by its exceptional earnings, robust free cash flow generation, and solid, debt-free balance sheet, has announced a dividend of $0.085 per share. This dividend, reflective of the company’s strong financial position, will be distributed to shareholders on July 3, 2023.
What you should know
Zak Calisto founded Karooooo in 2001 having initially established the company with a primary focus on stolen car recovery services within South Africa. Over the years, his entrepreneurial journey has led him to own a significant 66-percent stake in the company, equivalent to 20,419,294 shares. As a result of his majority ownership, Zak Calisto is entitled to receive a substantial payment of $17.3 million, reflecting the dividend from his stake in Karooooo.
Karooooo debuted on Nasdaq on March 31, 2021, raising $29.4 million from its IPO through the issuance of 1,050,000 ordinary shares at $28 per share.
From its origins as a Singapore-based mobility platform, Karooooo has grown into a prominent global provider of smart transportation management and analytics. The company now serves customers in 23 countries across five continents, supporting over 1.4 million users worldwide.
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