Company: KARO
Filing Date: 2025-06-09
Form Type: 20-F
Source: 0001213900-25-052372
Chunk: 88

Company: Karooooo Ltd.
Filing Date: 2025-06-09
Form: 20-F
Item: Item 4A
Chunk 88
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 28,                                                                

  (2)      We define Adjusted EBITDA, a non-IFRS measure, as profit less finance income plus finance costs, fair value changes to derivative assets, taxation, depreciation and amortization, impairment of ...  

Reconciliation of segment operating profit to segment
adjusted EBITDA (a non-IFRS measure)

                                            Year ended February 28, 2025                                            
                                            Cartrack                                                                
 ────────────────────────────────────────────────────────────────────────────────────────────────────────────────────
                                            (in R thousands)                                                        
  Segment operating profit/(loss)                                             1,272,980      39,353      1,312,333  
  Depreciation and amortization                                                 659,140       3,419        662,559  
  Gain on disposal of subsidiaries                                               (1,432           —         (1,432  
  Adjusted EBITDA (a non-IFRS measure)                                        1,930,688      42,772      1,973,460  

                                            Year ended February 29, 2024                                                         
                                            Cartrack                                                                             
 ─────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────
                                            (in R thousands)                                                                     
  Segment operating profit/(loss)                                             1,069,313      (52,907      26,096      1,042,502  
  Depreciation and amortization                                                 640,419        5,386       2,337        648,142  
  Adjusted EBITDA (a non-IFRS measure)                                        1,709,732      (47,521      28,433      1,690,644  

We define Segment adjusted EBITDA, a non-IFRS
measure, as the adjusted EBITDA (definition noted above) allocated to the identified segments.

We define Segment adjusted EBITDA margin, a non-IFRS measure, as the
adjusted EBITDA margin (definition noted above) allocated to the identified segments.

Factors Affecting Our Results of Operations

We believe that our performance
and future success depend on a number of factors that present significant opportunities for us but also pose risks and challenges, including
those discussed below and in the section of this annual report titled “ Risk Factors.”

Subscriber Growth

We derive substantially all of
our revenue from subscriptions to our SaaS platform. Our growth strategy is centred on increasing