Published
Financial

Kambi expects strong revenue growth for Q4

In its trading update, Kambi said it expects its Q4 2020 revenue to rise by up to 80% year-on-year, after a strong quarter of sporting activity.

shutterstock_328216631

The sports betting supplier is expecting Q4 revenue to reach between €46m ($56.4m) and €48m, up from €26.7m in the same period in 2019, after what it described as strong operator trading margin and continued momentum in operator turnover.

It also mentioned a return to a packed sporting schedule across key markets, including a full fixture list of European football, which should see operator trading margin of 9%, higher than the expected average long-term margin of between 7 and 8%.

Q4 expenditure is expected to rise from €20.5m in 2019 to between €24m and €25m, which the supplier says is higher than previous guidance due to additional social security costs in relation to its share option programmes, driven by a rise in Kambi’s share price.

EBIT for Q4 is estimated to be in the range of €21m to €24m, up from €6.2m in the same period a year prior, and between €31m and €34m for full-year 2020, a stark rise from €14.7m recorded in 2018.

If Q4 revenue reaches the higher end of the estimations, that would see Kambi’s FY 2020 revenue increase by 29% from 2019 up to €118.8m, despite the heavy disruption and suspension to the sporting calendar.

In Q3, Kambi saw its revenue increase 22% from the previous year to €28.1m following the return of sport, after a 32% yearly decline for Q2, down to €14.8m at the height of worldwide lockdown.

Premium+ Connections
Premium

RISK

 
 
Premium

GammaStack

 
Premium

Lynon

 
Premium

Sport Generate

 
Premium

Galaxsys

 
Premium

Digitain

 
Premium

PIN-UP Partners

 
Premium

Imagine Live

 
Premium

1xBet Partners

 
Premium Connections
Consultancy

SCCG Management

Executive Profiles
Zeal Network SE

Stefan Tweraser

VIP Play

Les Ottolenghi

Scientific Games

Keshav Pitani

Social & App

Spribe CEO exclusive: Simplicity is the foundation

Spribe CEO David Natroshvili speaks to Gambling Insider abou...

Redefining iGaming: A history of crash games

Crash games is a growing vertical that has taken gambling by...

A certain something: What makes crash games special?

Crash games. They’re simple, they’re easy to learn and,...

Smarter innovation to shape the future

Spribe CCO Giorgi Tsutskiridze discusses the past, present a...

Facing Facts: The corner of quarterly contemplation

With Q1 reports out across the industry, Gambling Insider co...

Taking Stock: A guide to key stock prices across the industry

Gambling Insider tracks prices from some of the industry’s...

15 years of Gambling Insider: From the Founders

Over the last 15 years, Gambling Insider magazine has interv...

15 years of Gambling Insider: The Awards over time

Global Gaming Awards Event Manager Mariya Savova gives us he...