Kambi Group Plc has recorded a favourable closing to 2020 trading, leading the sports betting technology and systems provider to upgrade its full-year results.
During Q4, Kambi recorded a 2% increase in trading margin – up to 9.4% – as the technology group benefited from an ‘extended run of favourable sporting results, across multiple sports and all key markets’.
The firm’s Q4 trading margin was ‘significantly higher’ than its expected long-term average of 7-8% – which had previously been reported as the firm’s custom trading margin, resulting in an expected Q4 revenue range of €46 – 48million (Q4 2019: €26.7 million).
As a result, the Stockholm-listed technology group upgraded its Q4 EBIT to be in the range of €21 – 24 million, a significant increase on the €6.2 million declared in Q4 2019.
Meanwhile, Kambi’s full-year EBIT results are now forecast to be in the range of €31 – 34 million – upgraded from €14.7 million in the corresponding period last year.
Closing its trading update, Kambi revealed that Q4 expenditures would be higher than previously anticipated, forecasting a figure between €24-25 million. The group explained that this was largely due to absorbing additional social security charges in relation to payments made on its share options programmes.
As costs are impacted directly by the movement of Kambi’s share price, the firm has also anticipated that its Q1 2021 operating expenditure will be in the range of €23.5 – 24.5 million.
Publishing its 2021 financial calendar, Kambi will report its Q4 and full-year 2020 results on Wednesday 10 February, followed by a leadership update at 10:45 CET.