Kambi report on first half progress
News on 28 Jul 2017
News on 28 Jul 2017
Sportsbetting technology provider Kambi reported on its first half year and second quarter results which, while steady, were impacted by a renegotiated multi-year extension to its 888 Holdings contract.
Key performance indicators for the second quarter ending June 2017 include:
– Revenue of Euro 14.1 million (Q2/2016: Euro 13.7 million), an increase of 3 percent.
– Operating profit (EBIT) for the second quarter of 2017 was Euro 0.3 million (Q2/2016: 2.0 million, with a margin of 2 percent (Q2/2016: 14 percent).
The 888 Holdings contract has had a Euro 1 million impact on Revenue and EBIT for the first six months of the year but is in the long-term interest of the company, Kambi said.
– Profit after Tax amounted to Euro 0.1 million (Q2/2016: Euro 1.8 million).
– Earnings per share for the second quarter of 2017 were Euro 0.004 (Q2/2016: Euro 0.060)
– Cash flow from operating and investing activities (excluding working capital) amounted to Euro -0.5 million (Q2/2016: Euro 0.1 million).
– Solid operator turnover growth of 16 percent y-o-y despite tough comparisons.
“I am pleased to report that Q2 was a successful trading period for Kambi. Not only has the day-to-day performance of the business remained strong, but Kambi has managed to further strengthen its foundations for future growth,” Kristian Nylén, chief executive officer of Kambi, said.
“We are very pleased to have secured a multi-year extension with one of our key customers, 888sport. We believe the longer term benefit from securing 888sport for years to come, far outweighs the shorter term impact the re-negotiation has on our financial results. Together we have enjoyed a very successful partnership, with 888sport having seen a near 500% increase in sports betting revenues since switching to Kambi in 2013.”
Looking ahead, Kambi’s exclusive sportsbook deal with Corredor Empresarial in Colombia will strengthen the company’s foothold in Latin America and is expected to lead to other significant business opportunities for both parties.
“Together with Grupo Televisa in Mexico, Kambi has managed to secure two major players in the two largest regulated Latin American markets, which not only speaks to the strength and scalability of the Kambi Sportsbook, but also places us in a strong position to win further customers in the region,” Nylén said.
