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Kambi Group plc Q2 Report 2024

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Financial Summary

  • Revenue amounted to €45.7 (Q2 2023: 42.9) million for the second quarter of 2024 and €88.9 (H1 2023: 86.9) million for the first half of 2024
  • Operating profit (EBIT) for the second quarter of 2024 was €6.2 (3.7) million, at a margin of 13.5% (8.6%) and €10.6 (8.2) million, at a margin of 11.9% (9.4%) for the first half of 2024
  • EBITA (acq)* for the second quarter of 2024 was €7.5 (5.0) million, at a margin of 16.4% (11.7%), and €13.3 (10.8) million, at a margin of 14.9% (12.4%), for the first half of 2024
  • Cash flow (excluding working capital and M&A) amounted to €8.1 (0.1) million for the second quarter of 2024 and €13.5 (3.4) million for the first half of 2024
  • Earnings per share for the second quarter of 2024 were €0.155 (0.083) and €0.260 (0.190) for the first half of 2024

*EBITA (acq) = Earnings before interest, taxation and amortisation on acquired intangible assets

Key highlights

  • Entered exclusive nationwide partnership with Choctaw Nation of Oklahoma, one of the largest tribes in the United States
  • Multiple partner launches including key completions prior to the UEFA European Championship (Euros) of LiveScore in the UK and Svenska Spel in Sweden
  • Industry veteran Werner Becher was announced as successor to Kristian Nylén as CEO
  • The Board decided to withdraw its 2027 financial targets following a review of the underlying assumptions as slower than expected progress towards regulation in certain key markets would likely delay revenue
  • Completed the fourth share buyback programme and announced a new long-term capital allocation policy with the objective of returning capital to shareholders through buybacks

CEO comment

“In the second quarter, operator turnover increased 3% year-on-year, although was up 20% when excluding the impact of the Penn online migration. This was driven by a busy sporting calendar and the growth of new and existing partners. Operator trading margin was 10.3%, boosted by higher than average margin from the June games in the Euros soccer tournament. With operating costs broadly flat, EBIT came in at €6.2 million, up 67% year-on-year.

In April, we strengthened our US and tribal network through an exclusive US-wide partnership with Choctaw Nation of Oklahoma, operator of Choctaw Casinos & Resorts. Choctaw owns a variety of gaming and hospitality destinations throughout southeastern Oklahoma, close to the Texas border, and is the exclusive casino and resort partner of the Texas Rangers, Major League Baseball’s World Series Champion. While Texas has yet to regulate sports betting, previous attempts to pass legislation would have seen licences tethered to the state’s sports franchises. We expect this will be the case again next year when we anticipate another effort to bring regulated sports betting to what is one of the largest states in the US.

Ahead of the Euros, we successfully delivered on two major partner launches, with LiveScore in the UK and Svenska Spel’s Oddset brand. These were both important accomplishments, carried out in parallel and requiring various bespoke developments. In the case of Svenska Spel, our front end division Shape Games was also successful in delivering its technology to enable the launch. The Euros and Copa America tournaments saw us provide all our partners with a market-leading product, enhanced by the delivery of expanded player props markets and Bet Builder capability via our AI trading division Tzeract. During the second half of June, activity on the Kambi platform was at its highest ever levels in terms of bets processed and number of players per day, with our partners receiving an uninterrupted high-quality service throughout.

On 1 July, I was pleased that we announced Werner Becher would be succeeding me as CEO from 25 July. With vast experience from the technology and gaming industries, most recently a senior executive at global sports data supplier Sportradar, I have every confidence Werner is the right person to lead Kambi into a new era of multi-product provision. I will be offering my full support to Werner from my new position on the Board of Kambi, where I will also help guide our long-term strategy.

I would like to take this opportunity to thank all Kambi employees, past and present, for their hard work and dedication during my time as CEO over the past 14 years, as well as everyone else who has supported Kambi along the way. I am proud of what we have achieved together and I firmly believe the foundation we have built positions us for future success.”

You are invited to participate in a web presentation at 9.00 CEST with Kambi Group plc’s CEO Kristian Nylén and CFO David Kenyon. The presentation will be held in English and can be accessed using the link below. After the presentation there will be the opportunity to ask questions.

The post Kambi Group plc Q2 Report 2024 appeared first on European Gaming Industry News.

George Miller (Gyorgy Molnar) started his career in content marketing and has started working as an Editor/Content Manager for our company in 2016. George has acquired many experiences when it comes to interviews and newsworthy content becoming Head of Content in 2017. He is responsible for the news being shared on multiple websites that are part of the European Gaming Media Network.

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NEW HORIZONS FOR ZETTAONLINE AFTER SBC SUMMIT

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Milena Tsankarska, Chief Commercial and Marketing Officer, represented ZettaOnline at the SBC Summit, leaving the event with promising new opportunities for the company. The summit, held from September 24th to 26th, 2024, at the Feira Internacional de Lisboa, brought together some of the top global experts in the gaming industry in the Portuguese capital.

“We have the chance to exchange ideas and form promising new partnerships which faced directly our marketing strategy to expand our services to different markets by establishing and cultivating long-term partnerships with new clients,” shared Milena Tsankarska. “At Lisbon our team was actively involved in engaging with industry peers, showcasing our cutting-edge solutions, and discussing potential collaborations that could drive mutual growth and success,” she added afterwords.

More than 600 exhibitors showed their new products and services within the gaming and entertainment industry in Lisbon. There also were a variety of dynamic conference formats where 450+ speakers shared their experience, and everyone had the opportunity to connect with 25,000 industry professionals.

“We would like to thank the organizers for hosting such an outstanding event. We’d also like to extend our gratitude to our esteemed partners and clients for the opportunity to reconnect, explore new possibilities, and create memorable moments together,” said Milena after the SCB Summit. At the SBC Summit, there were several themed areas like the Casino & iGaming Zone, Sports Betting Zone, Player Protection Zone, ESI Lisbon – Esports, Gaming & Creators Zone, and two summits: Payment Expert Summit and Affiliate Leaders’ Summit.

Next stop for Zettaonline’s team is BEGE/EEGS, which are two of the premier events in the gaming and entertainment industry. The Balkan Entertainment and Gaming Expo (BEGE) will showcase the latest innovative technologies and trends from across the sector. The Eastern European Gaming Summit (EEGS) is an annual gaming conference, just parallel to BEGE, with more than 400 industry representatives from 25 countries. For more information about our participation and to book a meeting with us, please contact [email protected].

The post NEW HORIZONS FOR ZETTAONLINE AFTER SBC SUMMIT appeared first on European Gaming Industry News.

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MIRACL partners with Continent 8 to offer its single-step passwordless MFA solution to simplify the login experience

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MIRACL’s passwordless multi-factor authentication (MFA) service adds to Continent 8’s multi-layered cybersecurity and regulatory compliance suite of solutions, providing secure, frictionless logins on any browser or device.

MIRACL, a provider of passwordless multi-factor authentication (MFA), today announces a new partnership with Continent 8 Technologies, a leading provider of global managed hosting, connectivity, cloud and cybersecurity solutions to the iGaming and online sports betting industry.

This collaboration has enabled Continent 8 to enhance their regulated cybersecurity product portfolio with MIRACL’s secure, single-step MFA solution, offering the most secure and efficient authentication experience possible.

MIRACL’s MFA service streamlines the authentication process with a single personal identification number (PIN) code or device-based biometric. This allows players to access an online service via browser or app in under two seconds – 20 times faster than traditional multi-step MFA methods. Crucially, this means MIRACL enjoys the highest Login Success Rate, 99.9% on average, which leads to increased traffic and conversions, boosting revenue and enhancing user experience.

The solution also saves cost by preventing account takeovers and minimising account resets, allowing gaming operators and suppliers to reduce IT helpdesk and infrastructure support costs.

The MIRACL MFA solution delivers banking-grade security through a zero-knowledge framework, ensuring that no security-related information is stored or shared. By eliminating credential exchanges, the service is fully resistant to all remote and brute-force attacks, including credential stuffing, man-in-the-middle, password spraying, phishing, replay and SMS fatigue, thereby offering zero vulnerabilities. The MFA solution complies with the most stringent security and privacy regulations, including MFA legislation requirements for the regulated iGaming and online sports betting industry.

Rob Griffin, CEO at MIRACL said “The shift to mandated MFA by regulators is set to be a massive change in the industry with requirements changing quickly across the globe. MIRACL meets 100% of these requirements for 100% of users while also massively improving their experience.

Over the last 25 years, Continent 8 has become a trusted authority within iGaming in respect of cybersecurity, regulatory adherence and the art of provisioning gaming services that delight their customers. MIRACL’s innovative solutions exceed customers’ expectations in all three of these realms so for us, Continent 8 is the perfect partner. We look forward to bringing our passwordless, single-step MFA to their global client base.

While operators can understand conceptually the potential for passwordless authentication to increase revenues and save costs, they need a trusted and expert partner to help navigate the path. Working closely in tandem, MIRACL and Continent 8 can meet that sizable customer need to ensure customers realise the massive ROI that MIRACL’s passwordless MFA enables.”

MIRACL’s passwordless MFA solution will be part of Continent 8 and C8 Secure’s (a Continent 8 company specialised in cybersecurity) comprehensive suite of multi-layered cybersecurity solutions. The current portfolio includes VAPT, Compliance Audit, DDoS, EDR & MDR, Mobile Protect, SafeBait, SIEM & SOC, V-Scan, Backup and WAAP services, among others.

David Brace, Principal, Innovation & Technology at Continent 8, said: “Speed, uptime, compliance and security are the pillars of our business, whether it be infrastructure, connectivity or the protection of digital assets. By partnering with MIRACL, we add an MFA service that protects players from fraud and cyber attacks, meets regulatory compliance and offers operators a swift, password-less MFA experience.

“This strategic alliance is a significant step forward in our ongoing mission to be the trusted cybersecurity and infrastructure partner for the regulated iGaming and online sports betting industry.”

The post MIRACL partners with Continent 8 to offer its single-step passwordless MFA solution to simplify the login experience appeared first on European Gaming Industry News.

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7777 gaming signs strategic agreement with R. Franco Digital, expanding reach in Spain and Latin America

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7777 gaming signs a strategic agreement with R. Franco Digital, a prominent player in the gaming sector and part of the Orenes Group. This partnership sees 7777 gaming’s extensive portfolio of casino content distributed across Spain and key markets in Latin America, where R. Franco Digital has a significant presence.

Through this agreement, players in these regions will gain access to 7777 gaming’s popular and diverse titles, including Devil’s Deal Soul for Sale, Cash 100, Crazy 100 Bucks, Thracian Treasures, Crazy 20 Bucks, Barbarian, Candy Anyways, Club Mr. Luck, Jinn, Sea of Treasures, and many more. Known for their innovative features and captivating gameplay, these games are set to bring a fresh wave of excitement to players across Spain and Latin America.

Zhana Aleksandrova, Business Development Manager for Spain & Latin America at 7777 gaming, commented: “The signed agreement with R. Franco Digital gives us another level of motivation and dedication to two very important markets for us – Spain and Latin America. R. Franco Digital has a strong presence, a wide network of partners, and an audience that loves exciting and innovative casino games. We are confident in our mutual success and are looking forward to receiving feedback from the players’ community.”

Guillermo Ruipérez, Head of Sales at R. Franco Digital, added: “We always strive to adapt our offerings to the requirements of our clients and their players. Our partnership with 7777 gaming aligns with our mission to offer the latest and most innovative gaming concepts available on the market right now. We are constantly upgrading and expanding our portfolio of providers to ensure that our clients are satisfied with what we can offer.”

This collaboration represents a significant step forward for both companies, as they work together to bring high-quality, engaging casino games to new and existing players in these vibrant markets.

The post 7777 gaming signs strategic agreement with R. Franco Digital, expanding reach in Spain and Latin America appeared first on European Gaming Industry News.

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