Kambi Group reports Q2 financial results
The company reported a 25 per cent increase in revenue during the second quarter of 2018.
Malta.- Kambi Group reported its second-quarter results on Wednesday, which show that the company experienced a 25 per cent increase in revenues year-on-year to €17.6 million when compared to the same period in 2017.
The company also experienced a 20 per cent increase in revenue for the first half of 2018 to €34 million. Operating profit for the second quarter of 2018 was €2.4 million, with a margin of 14 per cent and €4.4 million, with a margin of 13 per cent for the first half of 2018. Profit after Tax amounted to €1.7 million for the three month period and €3.2 million for the first half of 2018. Cash flow from operating and investing activities (excluding working capital) amounted to €1.9 million for the second quarter of 2018 and €2.5 million for the first half of 2018.
During that period, the company signed two US-based customers in DraftKings and Rush Street Gaming after US Supreme Court’s decision to fully repeal the federal sports betting ban. In Europe, the company signed Stanleybet Romania in Q2 and ATG and Latvijas Loto in Q3, while it also finalised long-term contract renewals with Kindred Group and Mr Green.
“I’m excited about what we can achieve with both customers, and in the US more generally. However, the state-by-state rollout of regulated sports betting will not happen overnight, therefore our US-facing business should be viewed in the mid-to-long-term,” said CEO Kristian Nylén, adding: “In parallel, we continue to focus on our core business, which was boosted in June by the early stages of the World Cup. Revenues in Q2 were up 25 per cent year-on-year, with revenue growth supported by yet another quarter of above average operator trading margin of 7.8 per cent.”
“Ahead of the World Cup, we launched three new customers into three regulated territories within the space of a week, demonstrating the scalability and capacity of the Kambi platform. We also announced we were in final stage commercial discussions with Swedish horse racing operator ATG, a deal we subsequently closed shortly after the end of Q2… Overall, the past few months have produced very positive results for Kambi, both operationally and commercially, and I look forward to continuing this progress throughout the remainder of the year.”
