Kambi Group praises sportsbook as finances rise in 2016

Kambi Group has paid tribute to the ongoing success of its sportsbook service after the company was able to record widespread year-on-year financial growth for 2016.

Full-year revenue for the 12 months through to December 31, 2016, amounted to €56 million ($59.2 million), which represents an increase of 17% on the €47.7 million posted in the previous year.

Operating profit for the full year came in at €8.8 million, up from €7.4 million in 2015, with a margin of 16%.

Meanwhile, profit after tax climbed from €6.2 million to €7.5 million.

Kambi Group also released its results for the fourth quarter of the year, during which revenue remained relatively level at €14.3 million, although operating profit fell from €3.3 million to €1.8 million and profit after tax was down from €2.9 million to €1.2 million.

Kristian Nylén, chief executive of Kambi Group, cited player-friendly results in December as the main reason behind year-on-year losses in the fourth quarter.

“As widely reported across the industry, December produced many events with player-friendly outcomes; for our operators, these resulted in lower than average margins in the quarter, which in turn, together with increases in gaming-related taxes, impacted on Kambi's revenues,” Nylén said.

“Despite this, I'm very pleased to report that our operators continued to demonstrate the underlying strength of the Kambi sportsbook and reported solid increases in turnover, even when compared to a strong Q4 2015.

“We will continue to invest in our world class sportsbook offering, to maintain our position as the highest quality service in the market, in an evolving market landscape.”

Nylén added: “In addition, I'm excited that Kambi has secured its first full contract in Latin America, with the signing of Mexican media giant Televisa, offering our premium sportsbook across all channels.

“We are confident in our strategy of investing in people and technology to create the best sportsbook on the market.”

Related article: Kambi pens sports betting deal with Mexico's PlayCity