better collective maintains full year guidance despite covid headwindsby Joker 11.11.2020 0 comments
Better Collective is confident of maintaining its full year financial guidance despite facing significant headwinds as a result of COVID-19.
Publishing its Q3 results, the sports betting media group noted that it is ‘cautiously’ expecting the remainder of 2020 and 2021 to be filled with sports and increased betting activity, allowing it to remain on track for fulfilling its full-year targets.
Q3 revenues amounted to €18.3 million, up 7% from the €17.1 million recorded in the corresponding period last year.
Despite a 3% drop in organic growth, Better Collective confirmed that the number of newly depositing customers (NDCs) was approximately 97,000, corresponding to a growth of 13% compared to last year. This, added the company, marks a return to pre-COVID levels.
Commenting on the results, Jesper Søgaard, Co-founder and CEO of Better Collective, said: “In general, the market development has so far been in line with the assumptions we made mid-March when we decided to provide an extraordinary business update based on this unprecedented COVID-19 situation.
“I am very proud of the way we are steering the business during these difficult times, and that we can maintain our full year financial guidance considering these unusual circumstances.
“Cautiously expecting that the remainder of 2020 and 2021 will be filled with sports activities and high levels of betting activity, we believe that we are well positioned to take our part of a global market that is getting back on the growth track.”
Operational earnings (EBITA) before special items increased 18% to €8 million, up from €6.8 million in Q3 2019.
In its statement, Better Collective addressed the changing tax rates in its home market of Denmark. While taxes will increase from 20% to 28% on gross gaming revenue (GGR), Better Collective has remained confident that this will have a ‘minor impact’ on its operations.
The US has remained a key focus for Better Collective during Q3, with plans in place to expand into Virginia, Michigan and Tennessee during Q4.