Online gambling revenue benchmark analyses Q2/2019

Better Collective leads revenue growth in Q2/2019

The Online Gambling Quarterly regularly provides various in-depth analyses of key financial figures of iGaming companies. In this article the analysts share some revenue growth benchmarks of the recent quarter. In Q2/2019 Better Collective led revenue YoY-growth (compared to the previous year) with an increase of +64% (YoY); the average YoY-growth in the quarter of all online gambling companies analysed was +5%. Regarding the QoQ-growth (compared to the previous quarter Q1/2019) best practice growth was achieved by the Churchill Downs (+51%), PPB/Flutter (+18%), and Zeal/Tipp24 (+12%)

Every quarter the researchers of the Online Gambling Quarterly have a look at the revenue figures of various iGaming companies ranging from operators and IT/service providers to affiliate companies and even cumulated figures of entire markets (e.g., France, Denmark, …). In most cases the figures used are net revenues; however, in a few cases net revenues were not reported, and therefore the analysts took gross revenues or turnover instead.

Total revenue growth analyses (YoY) – for more data click here

The Online Gambling Quarterly analyses the total revenue figure across all segments and the revenue development for each vertical. For the Q2/2019 development of the total revenue the researchers provide following insights:

• On average, total revenues (all verticals, …) grew in Q2/2019 by +5% (YoY)

• Best practice growth (YoY) was achieved by Better Collective with +64%.Better Collective is a leading affiliate in the online gambling market. The Q2/2019 revenue grew by 64% to EUR 15.8 million (Q2/2018 = EUR 9.6 million) – organic revenue growth was 18%. The growth was supported by a strong increase of new customers in recent quarters, where the main driver is the increase in underlying sports betting volume. Q2/2019 EBIT before special items increased by 64% to EUR 5.5 million (Q2/2018: 3.4 million). In H1/2019, revenue grew by 79% to EUR 30.7 million – organic revenue growth was 28%.

• Lowest/negative growth – At the bottom of the ranking we find Nektan, Global Gaming, and Ahaworld. (see full ranking here).

Total revenue growth analyses (QoQ) – for more data click here

In many cases the YoY growth rates are exceptionally high due to acquisitions made in a previous quarter – an effect that carries through for consecutive quarters after the acquisition. Therefore, several leading companies in the YoY growth benchmarking have those top positions more or less due to acquisitions made within the 12 months before the analysis. The researchers at Online Gambling Quarterly have therefore decided to also analyse quarter-on-quarter growth (QoQ) benchmarks as well. Those growth rates might be impacted by seasonal effects (e.g., football season vs. no football season) and other changes, but these figures can provide a quick, current overview of the most recent growth dynamics while excluding effects of acquisitions in previous quarters.

• Average growth – On average, revenues changed in Q2/2019 (compared to the previous quarter Q1/2019 – QoQ) by +1%.
• Best practice growth (QoQ) – Best practice growth (QoQ) were achieved by Churchill Downs (+51%), PB/Flutter (+18%), and Zeal/Tipp24 (+12%)

Betting revenue growth analyses (YoY)

The Online Gambling Quarterly also analysed the development of the betting revenues (mostly net revenues) in the recent quarter with the following insights:

• Average growth – On average, betting revenues grew in Q2/2019 (compared to a year earlier) by +8% (YoY).

• Top growth rate – Best practice growth was achieved by Stars Group with +182% (YoY) – excluded in average figure.

• Lowest/negative growth – At the bottom of the ranking we find Bet-at-home (see full ranking here).

For more financial analyses (e.g., casino revenue growth, …) have a look at the full report here.

About MECN / Online Gambling Quarterly

MECN is a network of experts on issues concerning the media and entertainment industry. Together they provide in-depth knowledge, analysis, and advice to global clients. The Online Gambling Quarterly is a new kind of report for the online gambling industry. It focuses on data analyses, benchmark figures, “hard” numbers, …