South Africa’s billionaire Zak Calisto drives Karooooo to $95 million Q1 2027 revenue

Karooooo Limited, the Singapore-based mobility platform led by South African billionaire Zak Calisto, delivered a strong start to fiscal 2027, posting accelerated growth across its core subscription business and logistics operations for the first quarter ended May 31, 2026.

According to its Q1 2027 report, group revenue rose 22% year-on-year to R1.56 billion ($94.45 million), supported by sustained demand for its SaaS-driven fleet management solutions. Subscription revenue, the company’s primary income stream, climbed 19% to R1.35 billion ($81.77 million), reflecting robust customer acquisition and increased adoption of high-value products such as Cartrack-Tag and Video.

Cartrack powers growth as subscriber base tops 2.8 million
Cartrack, Karooooo’s core operating unit, continued to anchor performance, with subscription revenue rising 19% to R1.35 billion ($81.77 million), up from R1.14 billion ($68.88 million) a year earlier. The unit’s subscriber base expanded 18%, surpassing 2.8 million users globally.

Net subscriber additions surged 70% to a record 142,472, with South Africa delivering a standout performance, where additions jumped 92% year-on-year. Annualized recurring revenue (ARR) accelerated 19% to R5.43 billion ($328.72 million), underscoring the strength of the group’s subscription-led model. In constant currency, ARR growth reached 22%, while in U.S. dollar terms it rose 32% to approximately $335 million.

Karooooo Logistics, the group’s delivery-as-a-service division, posted a 46% increase in revenue to R177 million ($10.71 million), driven by rising demand for quick commerce and last-mile delivery solutions.

CEO Zak Calisto signals confidence in FY2027 outlook
Karooooo CEO Zak Calisto said the group has entered FY2027 with strong momentum, supported by accelerating subscription growth and continued product innovation.

“FY2027 has commenced with strong, accelerated growth, underpinned by Cartrack constant currency subscription revenue growth of 21% and a record 142,472 net subscriber additions in the quarter,” he said. “We remain optimistic about the opportunities across our regions and believe we are well positioned to build on the momentum established in the first quarter.”

Despite foreign exchange headwinds from a strengthening rand, the company reported a record operating profit of R410 million ($24.82 million). It also reaffirmed its FY2027 outlook, projecting continued acceleration in Cartrack subscription revenue and earnings per share growth of about 21% at the midpoint.

Karooooo’s global SaaS model gains scale under Calisto
Founded in 2001, Karooooo has evolved from a vehicle recovery business into a global provider of fleet management, insurance telematics, and mobility SaaS platforms. Headquartered in Singapore, the company now operates in 24 countries across Africa, Europe, Asia, and the Americas.

Under Calisto’s leadership, the group has scaled rapidly, leveraging a subscription-based model that continues to deliver consistent revenue growth and expanding margins. Cartrack’s total revenue increased 20% to R1.39 billion ($84.13 million), reinforcing its position as the group’s primary growth engine.

Billionaire status reaffirmed as market value rebounds
Calisto’s growing stake in Karooooo has once again cemented his position among South Africa’s dollar billionaires. With a direct 58% shareholding, his stake is currently valued at approximately $1.15 billion, based on a market capitalization of R32.7 billion ($1.98 billion).

His return to billionaire status follows a temporary dip after he sold 1.5 million shares in June 2025, generating about R1.3 billion ($78.67 million) in proceeds and reducing his stake from 64%. While market fluctuations could impact valuations, Calisto retains significant influence over the company, including additional voting rights tied to a separate 10% interest.

With accelerating subscriber growth, rising recurring revenue, and expanding global reach, Karooooo’s Q1 2027 performance reinforces its position as a leading player in intelligent mobility and fleet analytics.