Part 1: Analysis of results from second quarter
Raketech said continuing uncertainties in environments where we feel sports betting is
Sweden and a tough comparative with last year important.” This pretty much fits the bill of the
due to the World Cup were to blame for the mybettingsites.co.uk deal, where the ex-owner
year-on-year revenue fall. Specifically, Holmberg Ian Bowden has remained in situ as the head of
suggested the market in Sweden, Raketech’s the UK for Better Collective.
largest market, had “stalled”. Looking ahead, he
said early third quarter trends suggested player Geographic expansion
values “will not decrease any further”. According to Søgaard, the company believes
South America represents a “great opportunity”.
Geographic expansion “We are already invested in that region; it is
Latin America was again given a mention quite high on our agenda.”
and Holmberg also suggested the company
was looking at Spain and Italy. The results GIG
came before the Japanese-facing Casumba B2B media highlights
acquisition, which was prefigured by Holmberg
suggesting Raketech was “looking primarily
at Japan and India”. Unlike some of its rivals,
Raketech gave the impression that it was not
entirely convinced by the potential in the US.
“Short-term, we see better growth (prospects)
in other markets,” he told analysts.
Better Collective
• Revenue up 64% to €15.8m
• Organic growth of 18%
• EBITA up 77% to €6.8m
• New depositing customers for the quarter at
111,000, up 60%
• Revenues and EBITDA flat – €8.6m against
€8.7m last year and static at €4.7m,
respectively
• Sequentially, revenue down from €9.1m,
EBITDA down from €5.2m
• Revenue share was down to 60%; CPAs up
to 17%
• FTDs down from 31.4k to 29.4k
In his last presentation as CEO Robin Reed said of
the affiliate business that it had a “solid quarter”
given the World Cup comparatives from last year.
Though the media business remains stable, as the
company has noted previously, clearly the issues
going on elsewhere are having an impact on the
As the company said, this was a decent organisation as a whole. The flat-lining revenue
performance given the World Cup comparatives performance and slight decline in NDCs will likely
from last year. The key for Better Collective have been concerning to the board given the
will be execution in the US. The company was business’s reliance on media services revenues.
more positive than some of its rivals regarding
Sweden, although it too suggested that in the Expansion plans
second quarter revenues had been “lower due In terms of the geographic expansion of
to seasonality”. the media division, the company said it had
received a licence to operate its affiliate
M&A
business in Romania.
Ahead of the acquisition of UK-facing
mybettingsites.co.uk, chief executive Jesper Sale of Highroller.com
Søgaard suggested the company had a “good Ahead of the results, GIG announced it had sold
position in the M&A space”. “We are also Highroller.com to Ellmount Gaming, an affiliate
looking at skill sets. And potentially markets or business based in Malta.
iGaming Business • Affiliate Monitor • October 2019
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