Kambi Group Plc has praised its diverse market make-up for helping the sportsbook systems provider maintain year-on-year growth, irrespective of pandemic circumstances impacting its commercial pipeline.
Publishing its Q4 trading update, Kambi registered corporate revenues of €35 million, down 26% on corresponding 2020 results of €47 million.
Q4 trading was matched against record-breaking 2020 comparatives for sportsbook clients. Performance was further dragged down by an ‘unfavourable October’ that saw clients suffer a series of ‘player-friendly results’.
Kambi was also unable to escape Dutch market headwinds, as major clients were forced to cease operations while waiting for licence approvals to participate in the newly launched KOA regime.
However significant European challenges were mitigated by a ‘full-swing’ of US NFL and College football wagering that saw clients take full advantage of Kambi’s Bet Builder product to engage customers.
“Looking back at Q4, growth from the Americas continued to be a key driver of our performance,” commented Kambi CEO Kristian Nylén.
“The Americas region was responsible for 58% of operator GGR and is set to increase further with additional markets to regulate and go live this year across Canada, the US, and South America.”
Trading against peak like-for-like comparatives, Kambi posted a Q4 EBIT of €7.1 million – 3x down on 2020 results of €22 million, with Q4 operating profits declared at €6.1 million (Q42020: €17.3m).
Yet a tough end of year trading period did not derail Kambi’s full-year performance, which registered double-digit % gains across all key operating metrics.
Full-year 2021 results saw group revenue increase by 38% to €162 million (FY2020: €118m) as performance was buoyed by an operating margin of 35%, significantly above 2020’s 27%.
Matching the scale demands of new clients in North and South America, and Australia – a diversified Kambi achieved a 77% FY2021 EBIT increase to €57 million (FY2020: €32m).
Closing its Q4 accounts, the firm anticipates FY2021 profits after tax of €46 million, up 93% on FY2020 corresponding results of €24 million.
Year highlights saw Kambi complete its first M&A, acquiring leading esports data and odds provider ABIOS for €13m. Whilst supporting future growth directives, the group has increased its net cash position to €72 million.
Kambi underlined a successful end of year for its commercial pipeline that will be strengthened by the new customers of Maximbet and Affinity Interactive in the US – NorthStar Canada – and BetCity and JVH that have launched sportsbook properties in the Netherlands re-regulated marketplace.
Nylén ended: “In summary, Q4 concluded a transformative year for Kambi and as we move into 2022, I am confident the business has never been better positioned for the future.
“The prospect of further regulation and additional partner signings across the globe is positive and we are firmly established as the go-to provider for the global sports betting market. I look forward to building on our successes this year and beyond to the benefit of both our partners and shareholders alike.”