In Q3 2026, Karooooo reported a 22% year-on-year increase in Cartrack’s SaaS annualized recurring revenue, reaching ZAR 5,106 million. When measured in U.S. dollars, ARR growth accelerated to 28% Y/Y, equating to USD 298 million. Subscription revenue for the quarter rose 20% Y/Y to ZAR 1,236 million, representing a marked improvement from the 14% growth recorded in the same quarter of the prior year.

Karooooo achieved record net subscriber additions of 111,478 in the quarter, a 29% increase versus Q3 of the previous year. Total Cartrack subscribers climbed 16% Y/Y to 2.6 million users. The pace of subscriber growth outstripped the prior quarter’s 20% ARR increase, underscoring the effectiveness of the company’s accelerated growth strategy and its ability to convert marketing investments into recurring revenue.

Strong customer expansion was driven by higher adoption rates of the Video and Cartrack Tag solutions. These offerings contributed materially to both top-line growth and improved customer retention metrics. Karooooo highlighted that cross-selling and upselling opportunities in its existing base were significant catalysts for the quarter’s outperformance, as fleet operators increasingly integrated multiple telematics and safety features into their operations.

Karooooo emphasized continued investment in distribution capacity to secure durable competitive advantages beyond the current financial year. Management reaffirmed its commitment to disciplined capital allocation and robust unit economics. The company expects that the timing differences between upfront growth-related expenses and revenue realization will narrow over time, supporting profitable scaling and long-term shareholder value creation.