Kambi confident that strengthened commercial pipeline will overcome current trading woes

first_img Presenting its Q3 2017 trading update (period ending 30 September), Nordic Nasdaq-listed Kambi Group Plc has detailed a robust corporate performance despite trading against a tough Q3 2016 comparative period featuring the UEFA Euro 2016 Championships.Updating investors, Kambi sustained a positive period revenue performance of €14.8 million, which sees the sports betting platform supplier generate €43 million for its year-to-date trading.Despite the firm’s positive revenue momentum, Kambi continues to be affected by lower operating margin declines due to adverse sporting results recorded across its client portfolio. A lower group operating margin of 7% (2016: 21%), would see Kambi declare a period operating EBIT of €1.1 million (Q3 2016: €3.1 million).Closing its Q3 2017 trading period, Kambi governance would declare group profits (after tax) of €800,000 (Q3 2016: €2.7 million).Detailing operational highlights, Kambi governance stated that the firm continues to strengthen its commercial pipeline adding new regulated ‘teir1 clients’ to its portfolio including Colombia’s Corredor Empresial and Bulgaria’s National Lottery operator which has launched 7777.bg with Kambi as lead platform supplier.As the firm expands its commercial footprint and secures further platform supplier contract renewals with LeoVegas and Paf, Kambi CEO Kristian Nylén states that his firm has the capabilities to deliver long-term growth its current downturn.Kristian Nylén Kambi CEO commented on Q3 2017 corporate performance “In many ways, Q3 could be viewed as a springboard quarter for Kambi. I’m pleased to report Kambi was able to continue its progress, with operator turnover rising 16% year-on-year versus a period which included the final stages of Euro 2016 and the Olympic Games.“Furthermore, this growth was delivered in the context of an unusually high operator margin of 7.5%, and means our margin for the first nine months of the year is 6.6% – a figure which falls within our projected annual range of 6.5-7%. This strengthens our belief that while margins will fluctuate due to the outcome of sporting events, we don’t see any long-term trends that suggest any continued downward pressure.”“The period saw us face a particularly tough revenue comparative in terms of both an equally strong trading margin in Q3 2016 and the impact of the 888sport contract renewal. Despite these factors, we still managed to post revenues on a par with Q3 last year.”“I’m pleased that I can once again say we have signed a new partner, this time in the shape of Bulgaria’s National Lottery, the country’s largest privately-owned gaming operator. This represents the seventh consecutive quarter in which Kambi has added a new customer. We will provide National Lottery’s online 7777.bg brand, a market leader in gaming products, with our Sportsbook. Kambi is delighted to have been chosen by National Lottery and we expect to launch during the current quarter.” Kambi takes control of Churchill Downs BetAmerica sportsbook August 28, 2020 Kambi and DraftKings agree on final closure terms July 24, 2020 StumbleUpon Related Articles Submit Kambi takes full control of LeoVegas sportsbook portfolio August 26, 2020 Share Sharelast_img


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