Cartrack-owner going from strength to strength

Karooooo’s 2026 financial year is off to a strong start, with the company’s first quarter seeing a significant rise in subscribers, revenue and earnings.

Karooooo, which is headquartered in Singapore and listed on the JSE and NASDAQ, owns 100% of Cartrack and 74.8% of Karooooo Logistics. Cartrack is by far the largest contributor to Karooooo’s revenue.

For the three months through May 2025 – the first quarter of its 2026 financial year – Karooooo recorded a strong performance.

Cartrack subscribers increased by 17% to 2.39 million, while the business’s subscription revenue grew by 18.5% to R1.14 billion.

Overall, Karooooo’s subscription revenue increased to R1.41 billion, up 18.4% from the prior year.

The company’s operating profit grew by 17% to R352 million, while its adjusted earnings per share increased 19% to R8.55.

Karooooo also reported a net cash and cash equivalents balance of R1.10 billion as of 31 May 2025.

In addition, the company recorded a healthy 16% increase in cash generated from operations before working capital changes of R572 million, driven by strong subscription revenue growth and earnings.

Karooooo explained that it plans to keep this momentum going in its 2026 financial year, as the company aims to accelerate Cartrack subscription revenue growth.

The company plans to further expand its distribution footprint in existing markets, drive broader platform adoption, and capitalise on growing demand for video solutions. 

“We remain confident that our track record of execution and success, specifically our ability to generate healthy cash flows, is sustainable,” Karooooo said.

The company declared an interim dividend of $1.25 (R21.97) per ordinary share for the first quarter of its 2026 financial year.