Karooooo Earnings: Cartrack Shines
Here's our initial take on Karooooo's (NASDAQ: KARO) second-quarter financial report.
Karooooo's overall revenue rose by 21% year over year in the second quarter, a bit faster than the 18% growth rate the company reported in the first quarter. Subscription revenue from its Cartrack vehicle tracking service increased by 20%, also an acceleration compared to the first quarter. Cartrack subscription revenue accounted for roughly 90% of Karooooo's total revenue.
The total number of Cartrack subscribers jumped by 15% year over year to 2.46 million. The company added 70,740 net new Cartrack subscribers during the second quarter, a slowdown compared to the 89,168 additions in the same period last year. Outside of Cartrack, the delivery-as-a-service offering from Karooooo Logistics saw revenue soar 38% year over year to ZAR139 million. Karooooo owns 74.8% of Karooooo Logistics, while Cartrack is wholly owned.
Source Fool.com
