Super Group eyes New Zealand expansion following record Q2 profits

Super Group, the parent company of Betway, is signaling a major strategic push into New Zealand following an exceptional financial performance in the second quarter of 2026. The operator is preparing to bid for three of the fifteen available online gambling licenses as the Department of Internal Affairs (DIA) moves toward a regulated market structure. This decision follows a period of calculated restraint where the company prioritized regulatory compliance over aggressive marketing to ensure its status as a reliable actor.

The group's interest in the region is backed by strong organic growth. Even with reduced promotional spending, revenue in New Zealand rose by 14 percent year-over-year. CEO Neal Menashe noted that this performance significantly contributed to the 6 percent growth seen in the rest of the world segment. The company is now positioning itself to capitalize on the formal licensing auction, which requires participants to demonstrate access to at least NZ$7.5 million in capital.

Numbers and facts

Financially, Super Group has reached new heights. Quarterly revenue climbed to $684 million, marking an 18 percent annual increase. The bottom line showed an even more dramatic recovery, swinging from a $3 million loss last year to a $123 million profit this quarter. Adjusted EBITDA reached $204 million, yielding a healthy 30 percent margin.

Regional performance was led by Africa, which saw a 36 percent revenue surge. In Europe, the UK market played a pivotal role, driving regional revenue up 19 percent to $132 million. As a result, management has raised its full-year 2026 guidance, now projecting revenue to exceed $2.6 billion and adjusted EBITDA to top $710 million.

Background

New Zealand's upcoming regulatory framework is designed to limit the market to established, well-capitalized operators. By capping licenses at three per operator, the government aims for a competitive but controlled environment. Super Group plans to apply for the maximum allowed number of licenses, mirroring the strategy of other major players like Entain.

CFO Alinda Van Wyk highlighted that the company’s previous lack of marketing in the region was a deliberate choice to avoid being labeled a "bad actor" during the pre-regulation phase. This long-term perspective appears to be paying off as the market nears its expected 2027 launch.

"We’ve been operating in New Zealand for many years and it already has quite a significant tax regime. At the time of the re-regulation there was a lot of noise around marketing, we didn’t market there because you don’t want to fall into the trap of a bad actor." - Alinda Van Wyk, CFO of Super Group

Why it matters for German players

For German consumers, particularly those using Betway, Super Group's global financial health provides a layer of security regarding payouts and platform stability. In Germany, the brand operates under the strict GlüStV 2021 regulations and is listed on the GGL whitelist. The company’s ability to generate high margins in international markets helps offset the high tax burden and operational costs associated with the German market.

However, players in Germany remain subject to different rules than those in New Zealand. This includes the mandatory 1,000 Euro monthly deposit limit and the 1 Euro maximum bet per spin on virtual slots, enforced via the LUGAS system. While Super Group expands globally, its German operations continue to focus on strict compliance within these legal boundaries.

What it means for GGL-licensed casinos

The success of Super Group serves as a benchmark for other GGL-licensed operators in Germany. It demonstrates that a focus on regulated markets can lead to sustainable profitability and investor confidence. The ongoing centralization of their technology stack has further improved margins, a strategy that many German-focused operators might need to emulate to remain competitive under the 5.3 percent stake tax.

Van Wyk also hinted at potential mergers and acquisitions in markets like the UK, where smaller operators struggle with regulatory costs. This trend could eventually reach the German market, where the high cost of compliance might lead to a similar consolidation among licensed providers.