Strong full year results from Kindred Group
News on 13 Mar 2017
News on 13 Mar 2017
Kindred Group (formerly Unibet) reported a strong full year performance in final 2016 fiscal results, boosted by a weakened Pound Sterling against the Group’s main currencies.
Strong growth across all markets with EBITDA up 57 percent and EPS up 50 percent was reported.
Key performance highlights for the period include:
An increase in gross winnings revenue of 54 percent to reach GBP 544.1 million (2015: GBP 354.1 million) of which sportsbetting accounted for GBP 245.5 million (2015: GBP 161.2 million) and Casino Games, Poker and Bingo GBP 298.6 million (2015: GBP 192.9 million).
Gross winnings revenue from mobile increased 96 percent tor each GBP 351.5 million.
Earnings before interest, tax and depreciation and amortisation (EBITDA) were GBP 120.7 million (2015: GBP 77.0 million).
Profit from operations for the full year 2016 was GBP 96.9 million (2015: GBP 63.0 million).
Profit after tax for the full year 2016 was GBP 83.9 million (2015: GBP 55.7 million).
Live sports betting accounted for 50.6 percent (2015: 50.4 percent) of Gross winnings revenue on sports betting, before Free Bets, in 2016.
The gross margin for pre-game Sports betting before Free Bets was 10.5 percent (2015: 12 percent)
The Gross margin for total Sports betting before Free Bets was 8.1 percent (2015: 8.4 percent), and after Free Bets was 6.8 percent (2015: 7.2 percent)
The gross margin for all products before free bets (excl. poker rake) was 4.7 percent (2015: 4.7 percent).
Betting duties for the full year 2016 amounted to GBP 67.7 million (2015: GBP 35.0 million), an increase of 93 percent from the last year.
Overall group increase in active customers of 71 percent from 1.3 million to 2.3 million.
Marketing costs were GBP 114.7 million (2015: GBP 78.5 million), up 47 percent.
Henrik Tjärnström, chief executive officer of Kindred Group, commenting on the results, said:
“2016 has been a year of great achievement and great change for the Kindred Group, which is exactly how we like it. We achieve good results thanks to the fantastic contribution of all our employees and the unique culture we have built since our foundation, which allows us to function as a family”.
