Kindred Group attributes 32Red acquisition to growth figures

Kindred Group plc has released their H1 2017 performance overview, which has displayed rapid growth.

The Kindred Group, one of Europe’s largest providers of online gambling and digital content, has revealed “strong organic growth in both Gross winnings revenue and EBITDA for the second quarter”.

Kindred Group CEO Henrik Tjärnström commented: “The marketing investments made in previous quarters have resulted in a new all-time high in Gross winnings revenue that was up 32% compared to last year. In constant currency Gross winnings revenue increased by 22% whilst the organic increase in Gross winnings revenue in constant currency was 18%. Taking into consideration the lack of major tournaments this year, we are confident that we have continued to outpace market growth and have continued to take market share.

“In the second quarter of 2017, 38 per cent of the Group’s Gross winnings revenue came from locally regulated markets. The acquisition of 32Red will significantly accelerate our development and profitability in the world's largest locally regulated market. Gross winnings revenue from the mobile channel grew by 52 per cent and accounted for 73 per cent of total Gross winnings revenue in the second quarter".

The rise of their mobile channel has gone a long way in creating such a profitable second quarter for the group. Following its more than 50% growth it now accounts for nearly two-thirds of its entire gross winnings.

“In the period up to 23 July 2017, average daily Gross winnings revenue in GBP was 20% higher compared to the same period in 2016 (up 9% excluding 32Red). Adjusting for the impact of exchange rate changes, the growth was 15% (up 4% excluding 32Red),” explained Tjärnström.