Kambi Financial Results for the Second Quarter of 2024: Revenue and Profitability Growth

In the second quarter of 2024, Kambi's revenue reached 45.7 million euros ($49.4 million), up 6.5% year-on-year. For the first half of 2024, the supplier's revenue amounted to 88.9 million euros, which is 2.3% more than for the first half of 2023.

Operating profit (EBIT) for the second quarter of 2024 was €6.2 million, up 67.6% year-on-year, with margins increasing from 8.6% to 13.5%. For the first half of 2024, earnings before interest and tax reached €10.6 million, up 29.3%, with margins rising from 9.4% to 11.9%.

EBITA for the second quarter was €7.5 million, an increase of 50%, and for the first half of the year it was €13.3 million, up 23.1% year-on-year.

Cash flow excluding working capital and mergers and acquisitions amounted to €8.1 million for the second quarter of 2024. For the first half of the year, cash flow amounted to €13.5 million, representing a significant increase of 297%.

Earnings per share for the second quarter of 2024 amounted to €0.155, an increase of 86.7% compared to the second quarter of 2023. For the first half of 2024, earnings per share amounted to €0.260, up 36.8% year-on-year.

During the second quarter, Kambi entered into an exclusive nationwide partnership with the Choctaw Tribe of Oklahoma to expand its presence in the U.S. market, specifically through Choctaw Casinos & Resorts. The company also successfully launched sports betting services LiveScore in the UK and Svenska Spel in Sweden ahead of the UEFA European Championship (Euro).

As part of the corporate changes, it was announced that Werner Becher will succeed Christian Nielen as CEO from July 25, 2024. Becher brings with him experience from Sportradar. Additionally, Kambi's board of directors decided to cancel its 2027 financial targets due to slower-than-expected progress in regulating key markets. The company completed its fourth share repurchase program and announced a new long-term capital allocation policy aimed at returning capital to shareholders.

Neelen, the outgoing CEO, noted 3% year-over-year growth in operator turnover, which was 20% when excluding the impact of Penn's online migration. He attributed this to the busy sports calendar, the growth in the number of new and existing partners, as well as high margins from the June games at the Euro tournament.

Kambi's results for the first quarter of 2024 showed revenue of €43.2 million, down 1.8% year-on-year, with an operating profit of €4.4 million, down 2.2%, and stable EBITA of €5.8 million. The supplier also reported cash flow growth of 68.75% for the first quarter, as well as the expansion of its retail sports betting partnership with Penn Entertainment and successful launches in Nigeria and the Netherlands.

Kambi's financial results for the second quarter of 2024 show strong revenue and profitability growth despite market challenges. New partnerships, successful launches and corporate changes demonstrate the company's commitment to further development and strengthening its position in the global sports betting market.