SBC News Voice of the Sports Betting Industry
Presenting its H1 2017 interim results (period ending 30 June), Stockholm-listed European online gambling operator Kindred Group Plc has reported ‘strong organic growth’ delivered through its marketing and acquisition investments.
Kindred governance was pleased to announce a further consecutive interim period of corporate growth against a tough set of 2016 comparable metrics.
The operator would report H1 2017 group revenues of £319.8 million (H1 2016:£249.0 million), combined with a period underlying EBITDA £64 million (H1 2016: £50 million).
Closing its H1 2017 performance, Kindred would declare group profits of £41 million (H1 2016: £37 million), which included a payment of £2.6 million relating to its acquisition of 32Red assets.
Updating investors, Kindred governance would highlight the positive contribution of 32Red integrated assets, which had contributed Q2 2017 revenues of £4.7 million combined with an underlying EBITDA of £1.2 million, primarily generated from the UK online gambling market.
Moving forward, Kindred highlights that it has surpassed 20 million registered player mark through its group portfolio, with the company averaging +1.2 million active players during the period.
Kindred Group CEO Henrik Tjärnström commented on H1 2017 performance
“The marketing investments made in previous quarters have resulted in a new all-time high in Gross winnings revenue that was up 32 per cent compared to last year. In constant currency Gross winnings revenue increased by 22 per cent whilst the organic increase in Gross winnings revenue in constant currency was 18 per cent. Taking into consideration the lack of major tournaments this year, we are confident that we have continued to outpace market growth and have continued to take market share.”
“In the second quarter of 2017, 38 per cent of the Group’s Gross winnings revenue came from locally regulated markets. The acquisition of 32Red will significantly accelerate our development and profitability in the world’s largest locally regulated market. Gross winnings revenue from the mobile channel grew by 52 per cent and accounted for 73 per cent of total Gross winnings revenue in the second quarter”.
“In the period up to 23 July 2017, average daily Gross winnings revenue in GBP was 20 per cent higher compared to the same period in 2016 (up 9 per cent excluding 32Red). Adjusting for the impact of exchange rate changes, the growth was 15 per cent (up 4 per cent excluding 32Red),”
Kindred H1 2017 Performance Overview
