The Unibet operator saw a higher than expected sports betting margin in the quarter.
Malta.- Kindred Group has reported record growth for the fourth quarter of 2020 thanks to strong customer growth and a higher than usual sports betting margin.
Gross revenue for the three months ending December 31 hit around £365m, up by 55 per cent year-on-year.
The record performance was helped by strong growth in customer numbers, with active customers up by 11 per cent year-on-year at 1.8 million.
Revenue was also boosted by a sports betting margin of 10 per cent, above the average of about 8.5 per cent.
The Unibet operator increased marketing investment in Q4 by 13 per cent in comparison with the same quarter in 2019 as it increased spend to compensate for reduced activity in the first half due to the impact of the Covid-19 pandemic on the sports calendar.
Despite this, overall marketing spend for the year was down on 2019 and fell from 23 per cent to 21 per cent of total revenue.
Kindred estimated underlying EBITDA for Q4 at £115m, way over the £30.7m posted for the same quarter in 2019 as it continues to work on operational efficiency and costs.
In October, Kindred acquired Rank’s land-based casino, Blankenberge Casino-Kursaal, in Belgium.