SBC News Voice of the Sports Betting Industry
Publishing its full-year 2018 results, Stockholm-listed Better Collective AS declares a ‘transformative year’ for its business in which it has laid the foundations to become betting/gaming’s leading global affiliate marketing network.
Completing its third corporate update as a Stockholm Nasdaq enterprise, Better Collective continues its strong trading momentum recording Q4 2018 revenues of €12 million (Q4 2017: €9.3m).
Publishing a Q4 2018 EBITDA of €5.4 million (Q4 2017: €3.5m), Better Collective governance details that the firm was able to maintain its growth capacity despite competing against a tough comparative 2017 period, featuring record net margins gained as a result of a series of favourable sporting results.
Jesper Søgaard, Chief Executive of Better Collective, said: “During Q4 2018, we continued to deliver significant growth. However, when comparing to the extraordinarily strong Q4 2017, organic revenue declined as expected. This is explained by the volatility that we face in our line of business, where the timing and results of big sport events plus NDC growth have a direct impact on revenue. “
Closing its 2018 accounts, Better Collective reports full-year corporate revenues of €40 million (Q4 2017: €26m), combined with an operating EBITDA of €16 million (Q4 2017: €11m).
As previously reported, Better Collective has attributed €4 million in 2018 ‘special item’ costs, related to the firm’s Stockholm IPO and M&A assets, resulting in the firm recording a profits (after tax) decline to €5.4 million (2017: €7.5m).
Q4 2018 saw Better Collective continue its M&A strategy, with the company acquiring Swedish sports betting network Ribacka AB for €31 million, a transaction which will have an instant impact on the Stockholm firm’s revenue/net capacities.
Søgaard said that Better Collective’s quick adjustment to life as a Stockholm enterprise can be seen as proof of the firm’s long-term growth strategy, combining organic growth with fast scale M&A transactions.
He added: “Reviewing 2018 I dare say, a year with the main list IPO on Nasdaq Stockholm, allowing us to execute our M&A-strategy, strong business performance, and the US market beginning to regulate, are a combination of events that do not come around that often.
“I am highly satisfied with our achievements this year, and I am confident that we have laid the ground for an even more promising 2019 and the years to come.”
“Looking at Better Collective, including the businesses that we have acquired during 2018, our company now has annual revenues of >50 mEUR and operational earnings (EBITA) of approximately 25 mEUR, based on proforma numbers, assuming all businesses were consolidated with full year effect 2018.
“We strongly believe that size matters, as it allows us to continue investing in product innovation and in market expansion; For us this is key to a long term sustainable growing business.”
