Kindred struggles in Sweden as Q3 revenue falls
Kindred Group revenue was £226m ($290m) for Q3 2019, a 2% drop year-on-year, while revenue for the year-to-date was £676.6m, a 3% rise.
EBITDA for the period was £37.2m, a decrease of 33%, and £98.3m for the year-to-date, a 32% fall.
Kindred’s Q3 profit before tax amounted to £21.4m, a fall of 49%, while the operator generated profit after tax of £18.1m, a 51% decrease.
The operator said a difficult Swedish market, along with a lower-than-usual sportsbook margin in September and the removal of the iDeal payment solution in the Netherlands, resulted in lower revenue.
Despite this, Kindred plans for future growth in its other markets, launching sportsbook products in both New Jersey and Pennsylvania during Q3.
Henrik Tjärnström, Kindred CEO, said: “Similar to what we saw in the first half of 2019, re-regulation in Sweden resulted in difficult market conditions in the third quarter.
“The current terms and conditions make it challenging to attract customers into the system and can lead to worsening channelisation.
“Outside of Sweden and the Netherlands, we continued to see strong growth in several other markets, including the UK and France.”
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