Karooooo has reported a sharp acceleration in subscriber growth and earnings, as rising demand for vehicle tracking, video telematics and data-driven fleet management continues to reshape the group’s outlook.
According to BusinessTech, the Johannesburg- and Nasdaq-listed technology group, best known for its Cartrack platform, recorded a 16% increase in subscribers over the three months to 30 November 2025, taking its total customer base to 2,568,467. That compares with 2,223,227 subscribers a year earlier.
The update places Karooooo firmly on a higher growth trajectory as it leans into new technology, expanded sales capacity and deeper adoption across its existing customer base.
Record additions, rising revenue
Karooooo added a record 111,478 net Cartrack subscribers during the quarter, significantly higher than the 86,617 added in the same period last year.
That momentum translated into stronger financial performance, as subscription revenue rose 20% to R1.239 billion, while group operating profit climbed 14% to R369 million. Earnings per share increased 11% to R8.55.
Cartrack remained the dominant contributor, with operating profit increasing 14% to R359 million. Karooooo Logistics also posted growth, lifting operating profit by 7% to R10 million.
Founder and chief executive Zak Calisto said the quarter reflected sustained execution at scale.
‘Our Q3 performance reflects our consistent and disciplined track record of growing our business at scale,’ said Calisto.
He added: ‘We continued to accelerate our subscription revenue while experiencing record net subscriber additions.’
Calisto attributed the acceleration to both new customer growth and rising take-up of value-added services, particularly the group’s Video and Cartrack Tag products.
While acknowledging timing differences between growth-related costs and future revenue, he said the group remains comfortable with its strategy.
‘We expect our ongoing investment in distribution capacity to create durable advantages that extend beyond the current financial year.’
Karooooo believes it is operating in an expanding and still underpenetrated market, driven by increased digitalisation, pressure to improve efficiency, cost containment and heightened safety requirements in physical operations.
‘Our proven and profitable business model, underpinned by a strong balance sheet and healthy cash position, provides us with multiple levers for expansion,’ Calisto noted.
The group also highlighted continued investment in artificial intelligence, platform capabilities and customer experience.
‘We believe our ongoing investments in AI innovation, platform capabilities and customer experience position us to drive durable long-term growth.’
Despite the accelerating growth, Karooooo acknowledged operational constraints, noting that it remains people-constrained as demand rises.
BusinessTech notes that the group has recently faced public scrutiny over alleged harsh working conditions, claims it has denied.
The company said it remains focused on expanding its sales teams to support further subscriber growth and increase cross-selling of Video and Cartrack Tag products within its existing customer base.
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