Sports resumption drives Kambi to record revenue in Q3

first_imgQ3 saw Kambi expand its portfolio of partners, having signed new sports betting deals with Churchill Downs Incorporated (CDI) in the US, an agreement that has seen its BetAmerica brand launch in Colorado and Michigan, with more states to follow in Q4 and beyond. Q3 results 2020 Email Address Kambi Group said the resumption of sporting events after the novel coronavirus (Covid-19) shutdown helped it set a new revenue record in its third quarter. This helped overall operator turnover grow 62.0% year-on-year, with average operator trading margin for the period standing at 7.2%. AddThis Sharing ButtonsShare to LinkedInLinkedInShare to FacebookFacebookShare to TwitterTwitter In terms of geographical performance, Europe remained Kambi’s core market, though the Americas gained significant ground in Q3, now representing 43% of all gross gaming revenue, up from 28% in Q2. Revenue in the three months through to 30 September amounted to €28.1m (£25.3m/$33.3m), representing an increase of 22.2% on €23.0m in the same period last year. Subscribe to the iGaming newsletter “The difference between Q2 and Q3 couldn’t have been starker and underlines the ability of the business to quickly and efficiently respond not only to the lockdown situation, but also ensuring resources were in place for when sports returned,” Kambi chief executive Kristian Nylén said. “It’s reassuring for our partners to experience the capability and inherent flexibility Kambi has to adapt and thrive under testing conditions and we are confident in our ability to handle any potential future impacts that may arise from the virus.” Regions: US Kambi also noted that revenue derived from locally regulated markets in Q3 was 80.0%, up from 73.0% in the same quarter last year. Looking at spending in the quarter, total operating expenses stood at €21.5m, up 9.7% from €19.6m in the same period last year. This left an operating profit of €6.5m, an increase of 91.2% on Q3 of 2019. Kambi also completed 14 US on-property launches in Q4, spread across New Jersey, Michigan, Colorado, Illinois and New Hampshire, involving CDI, Four Winds Casinos, DraftKings, Parx Casino, PNG and Rush Street Interactive (RSI).center_img Q4 also saw Kambo sign an extended deal with LeoVegas, through which it was able to relaunch two brands, BetUK and 21.co.uk, in Great Britain. Sports resumption drives Kambi to record revenue in Q3 “As we near the end of 2020, the cautious optimism of earlier in the year has been replaced with growing confidence, as we finish the year in great shape,” Nylén said. As to how this impacted Kambi’s year-to-date performance, revenue for the nine months to the end of September was €70.7m, an increase of 7.8% on the same point last year. When accounting for €155,000 in finance expenses, Kambi posted a €6.4m profit before tax, compared to €3.3m last year. Kambi paid €1.3m in tax in Q3, meaning it ended the quarter with a net profit of €5.1m, up 121.7% on the previous year. 6th November 2020 | By Robert Fletcher Kambi also noted a number of major events that happened after the end of Q3, including signed a deal with the Belgian National Lottery and also launching in the US state of Tennessee. “Looking ahead, having successfully come through our toughest challenge, more exciting opportunities await us.” Topics: Finance Sports betting Q3 results 2020 Online sports betting Product & technology Retail sports betting Tags: Kambi Financial Results After paying €2.2m in tax, Kambi had €6.8m in profit, but when also accounting for €1.2m in currency translation arrangements, this meant that comprehensive profit was €5.6m, up 12.0% year-on-year. Operating costs were 6.5% higher at €60.7m, but revenue growth meant that operating profit was up 16.3% to €10.0m, while profit before tax also climbed 18.5% to €9.6m. Kambi the third quarter was particularly busy for sports around the world, with US and European leagues completing seasons disrupted by Covid-19.last_img read more

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