Better Collective ascribes its growth to a large increase in New Depositing Customers (NDCs), up 74%, which has improved expected recurring revenue for the future, despite some short-term harm on revenue and earnings.
A low sports win margin had a negative effect of €6m, when juxtaposed against historical averages. Regardless, organic revenue growth was 25%, helping Better Collective offset short-term losses.
Additional Q4 details include a 16% (€16.3m) EBITDA increase before special items, with group EBITDA margin before special items at 31%.
Better Collective generated a before special items cash flow of €13.5m, an increase of 33%. Cash conversion was at 82%, and final Q4 results detailed capital reserve standings of €33.5m.
By comparison, full-year highlights for Better Collective detail a 94% growth in revenue, with organic growth up 29%. EBITDA before special items for the year increased 46%, while the EBITDA margin was 32%.
Full-year cash flow from operations amounted to €51.2m, increasing by 34% from the previous year.
NDCs for the year grew by 96%, with revenue share contracts achieving a growth of 70%.
In terms of expenditure, Better Collective’s full-year acquisitions amounted approximately to €210m, with an increase in ownership of Mindway AI to 90%, a €3.8m investment in Rekatochklart (a Swedish sportsbook), and the €196m acquisition of US sports betting media platform Action Network.
Better Collective points to other significant events at the closure of Q4 and the yearly period, noting January's (2021) revenue doubled that of 2020's, with an organic growth of 69% over the same period.
The company also notes the success of its media partnership with the New York Post, and the implementation of a new long-term incentive plan (LTI).
In December 2021, Better Collective initiated cover for future payments relating to acquisition completion and incentive programmes through a share buyback scheme.
