As online gaming platform SunBet reports impressive mid-year results with a 70% increase in income, Sun International is increasingly leveraging technology across its operations to thrive in a digital landscape.
In the six months leading up to June, SunBet’s revenue surged to R874 million, accounting for nearly one-fifth of the gambling company’s total income. This growth was largely driven by a 128.7% increase in slots income, alongside higher customer activity and deposits.
In comparison, the broader group reported a 6.7% increase in income, excluding the Table Bay Hotel, which is currently undergoing substantial refurbishment. Notably, SunBet’s performance is bolstered by the rapid growth of online betting and advancements in technology, shaping Sun International’s digital strategy.
The results booklet emphasizes that the group is “well-positioned for sustainable growth,” citing “strong momentum in digital conversion for SunBet” and plans to expand into selective regulated African markets.
During the results presentation, newly appointed CEO Ulrik Bengtsson expressed satisfaction with SunBet’s continuous growth, stating, “I’m very happy with the continuous growth in SunBet of 70%.” He acknowledged that customer expectations and behaviors are changing rapidly due to technology, values, and innovation.
Although Bengtsson was appointed in July and the company is still formulating its digital strategy, he hinted at its future direction: “Sun International must stay ahead of the curve to thrive in a digital, mobile, and AI-first world.”
Bengtsson emphasized the importance of re-assessing approaches to drive growth and optimize returns, aiming for the long-term competitiveness of Sun International as a digitally-led, market-leading omnichannel gaming company.
He also noted that Sun International possesses great potential in its omnichannel strategy, stating, “This is a critical time for our industry, and we have an incredible set of physical and digital assets to offer a true omnichannel experience.”
Despite the growth in online gaming, Sun International’s urban casinos, such as Carnival City in Gauteng, are experiencing declining revenues. CFO Norman Basthdaw highlighted a 1.4% year-on-year drop in income from these venues in the first half of the year.
Sun International’s shift towards a digital environment aligns with global trends. Backend providers like VeliTech are developing AI-driven solutions in iGaming. Other emerging technologies in the sector include machine learning, virtual and augmented reality, blockchain, cryptocurrency, biometric authentication, and the Internet of Things.
Research is also underway in quantum gambling theory, exploring how principles of quantum computing could be applied to games like blackjack to eliminate bias.
Online gaming is rapidly gaining traction in South Africa. The National Gambling Board reports that “online betting is now firmly established as the dominant mode of gambling in the country.” According to the latest data from Statistics South Africa, online gambling generated R152.6 billion in 2023, a sharp increase from R10.1 billion in 2018.
Despite half of all gamblers participating online, gross gambling revenue defined as the difference between wagers and payouts that was significantly higher than at casinos, reaching 81% in the 2023/24 fiscal year, according to the National Gambling Board.
