Jarred Houston's questions to Lesaka Technologies Inc (LSAK) leadership • Q4 2024
Question
Jarred Houston of All Weather Capital asked about the group's debt levels, specifically whether the improvement in the net debt to EBITDA ratio would be driven by EBITDA growth or actual debt reduction, and the expected future direction of the leverage ratio.
Answer
Executive Ali Zaynalabidin Mazanderani initiated the response by confirming the company's intent to manage the business at a 2x net debt to EBITDA ratio. Executive Naeem Kola elaborated, citing the reduction of Cell C stock holdings and a significant leverage ratio improvement in FY24. He stated that post-Adumo, achieving guidance and restructuring the consumer loan book should bring the leverage ratio below the 2x target.