Lesaka Technologies (LSAK) investor relations material

Executive summary

• Net revenue grew 16% year-over-year to ZAR 1.58 billion, with Group Adjusted EBITDA up 45% to ZAR 337 million, and adjusted earnings per share rising 247% to ZAR 1.80.

• Net income attributable to shareholders turned positive at ZAR 8.4 million, compared to a loss of ZAR 410 million in Q3 FY2025.

• Adjusted earnings surged to ZAR 148 million, and net debt to Group Adjusted EBITDA improved to 2.1x.

• Achieved upper end of profitability guidance for Q3 FY2026, with strong operational momentum and raised full-year Adjusted EPS guidance.

• Strong cash generation, with operating cash flow of ZAR 608 million and cash and cash equivalents at ZAR 1.54 billion.

Financial highlights

• Merchant net revenue declined 4% to ZAR 751 million; Consumer net revenue up 41% to ZAR 627 million; Enterprise net revenue up 51% to ZAR 220 million.

• Segment Adjusted EBITDA: Merchant up 3% to ZAR 151 million, Consumer up 81% to ZAR 213 million, Enterprise at ZAR 35 million.

• Operating margin increased from 17.2% to 21.4% year-over-year.

• CapEx for the quarter was ZAR 76 million, with annual CapEx expected below ZAR 400 million.

• Cash generated from business operations was ZAR 365 million in Q3 FY26.

Outlook and guidance

• FY2026 net revenue guidance set at ZAR 6.2–6.5 billion, implying up to 23% year-over-year growth.

• Group Adjusted EBITDA guidance narrowed to ZAR 1.25–1.35 billion, midpoint implies up to 49% growth.

• Adjusted EPS guidance raised to ZAR 5.50–6.00, midpoint >150% year-over-year growth.

• Net income attributable to shareholders expected to be positive for FY2026.

• Guidance excludes impact of pending Bank Zero acquisition and any unannounced M&A.