Company: KARO
Filing Date: 2025-06-09
Form Type: 20-F
Source: 0001213900-25-052372
Chunk: 95

Company: Karooooo Ltd.
Filing Date: 2025-06-09
Form: 20-F
Item: Item 4A
Chunk 95
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a non-IFRS measure)                                                                                         106,093      1,973,460      1,690,644      1,426,846        17       18  
  Profit Margin                                                                                                                                    21             18             17                     
  Adjusted EBITDA Margin (2) (a non-IFRS measure)                                                                                                  43             40             41                     

  (1)      For convenience purposes only, amounts in South African rand as at February 28,                                                                

  (2)      We define Adjusted EBITDA margin (a non-IFRS measure) as Adjusted EBITDA (a non-IFRS  

  (3)      We have elected to omit discussion of the earliest of the three years covered                                                            
           by our consolidated financial statements presented in this annual report because that disclosure as at and for the financial year ended  
           February 28, 2023 was included in our annual report on Form 20-F (File No. 001-40300), filed with the SEC on June 13, 2024, under the    
           section titled “ Item 5. Operating and Financial Review and Prospects.”                                                                  
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For the financial years ended
February 28, 2025 and February 29, 2024, Karooooo’s Adjusted EBITDA was ZAR 1,973.5 million and ZAR 1,690.6 million, respectively,
which represents an 17% increase. This result includes Carzuka’s losses of ZAR 43.3 million incurred in FY 2024. Cartrack has had
a strong track record of profitability while it grows at scale. Karooooo Logistics is contributing positively to Karooooo’s Adjusted
EBITDA while we continue to invest in the Karooooo Logistics business to drive scale.

For the financial years ended
February 29, 2024 and February 28, 2023, Karooooo’s Adjusted EBITDA was ZAR 1,690.6 million and ZAR 1,426.8 million, respectively,
which represents an 19% increase compared to the prior period, primarily due to Cartrack’s consistent profitability as a result
of robust subscriber and subscription revenue growth offset by investment for growth. This result includes Carzuka’s losses incurred
in the