Industry News
Kambi Group plc Q4 Report 2019
Financial summary
- Revenue amounted to €26.7 (21.7) million for the fourth quarter of 2019, and €92.3 (76.2) million for the period January to December 2019
- Operating profit (EBIT) for the fourth quarter of 2019 was €6.2 (4.2) million, with a margin of 23.1% (19.2%), and €14.7 (12.7) million for the period January to December 2019, with a margin of 16.0% (16.7%)
- Profit after Tax, including €0.5 million of impairment charges, amounted to €4.6 (3.3) million for the fourth quarter of 2019, and €10.4 (9.8) million for the period January to December 2019
- Earnings per share for the fourth quarter of 2019 were €0.152 (0.110), and €0.345 (0.326) for the period January to December 2019
- Cash flow from operating and investing activities (excluding working capital) amounted to €4.4 (2.8) million for the fourth quarter of 2019, and €8.6 (8.6) million for the period January to December 2019
- The AGM will be held on 13 May 2020 at Kambi’s Stockholm office. The board has decided to propose that no dividend is paid out (2018: no dividend)
Key highlights
- Strong financial performance with 23% year-on-year rise in Q4 revenue and 52% year-on-year increase in Q4 operator turnover, driven by further expansion into new US states and new customer launches
- The quarterly performance contributed to full year 2019 revenue growth of 21% and an operator turnover increase of 37% compared to 2018
- Signed Seneca Gaming Corporation in November and launched in all three of Seneca’s New York casinos in December
- Launched with DraftKings and New Hampshire Lottery when going live online in New Hampshire in late December
- A record 11 Kambi partners named in the prestigious EGR Power 50 ranking, which lists the industry’s most powerful operators
Kristian Nylén, Chief Executive Officer:
“I’m delighted to report another strong quarter for Kambi, which rounds off a year in which annual revenues grew by more than 20% and operator turnover by more than a third. Looking back on 2019, it was another great year for Kambi, as we continued to build out a fantastic sports betting product, expanded into multiple new markets, and signed six new partners, all of which leaves us in a great place for 2020.
In the previous report, I highlighted the momentum we could see building in operator turnover, and this trend continued in Q4 with each month delivering a greater number than the last. In total, Q4 operator turnover increased by 52% year-on-year and 36% sequentially – considerably higher volumes than Kambi has ever seen. While much of this growth was derived from our US partners, we also saw double-digit turnover growth in markets outside of the US, all of which contributed to strong revenue growth of 23%.
While the year was pleasing for many reasons, 2019 ended with news our partner DraftKings had entered into an agreement to acquire its own sports betting technology and therefore will no longer be dependent on Kambi. Our revenues from DraftKings are likely to be unaffected throughout 2020. I remain of the view that DraftKings’ long-term prospects would be better served with Kambi but also that this will increase the appeal of Kambi to an even greater level. We remain firmly committed to the US, where we have a diverse network of partners which have fantastic potential for growth, particularly as more states regulate.
We continue to prove that we are the sports betting partner operators can trust to deliver. In Q4, we launched in seven casinos and a variety of online sportsbooks across multiple jurisdictions. I’m particularly proud we were able to launch with our first US lottery, when going live in New Hampshire with DraftKings in December. I was also pleased to make our retail debut in South Africa when we launched the Kambi Sportsbook inside the Sun International-owned Grand West Casino in Cape Town.
I’ve spoken previously about the strengths of Kambi’s retail product and our ability to roll out at speed. These assets were both on display during Q4 when we successfully signed a new customer in Seneca Gaming Corporation and subsequently launched in its three New York casino properties within a matter of weeks. Seneca is a great customer signing for us. Not only is it an organisation which shares our values of trust and collaboration, but the fact it is owned by one of the most respected US Native American tribes ensures it is a partnership that will resonate within the tribal community nationwide.
The evolving nature of the sports betting industry means there will always be challenges to overcome but I know we have built a robust business with the capability and strength to withstand these pressures. We operate in a fast-growing market, one which continues to embrace regulation and will therefore present Kambi and our partners with exciting opportunities for many years to come. Be in no doubt Kambi is well positioned both in the US and globally and I look forward to a prosperous 2020.”
You are invited to participate in a report presentation at 10.45 (CET) with Kambi Group plc’s CEO Kristian Nylén and CFO David Kenyon. The presentation will be held in English via a telephone conference and can also be accessed via an audiocast using the link below.
Questions can be asked on the telephone conference or sent via the audiocast link. Please see details in the link below:
https://financialhearings.com/event/12006
Numbers for participation in the telephone conference:
Dial-in number SE: +46850558368 UK: +443333009031 US: +18335268398
Link to the audiocast: https://tv.streamfabriken.com/kambi-group-q4-2019
Link to report page: https://www.kambi.com/investors/financial-reports-and-presentations/quarterly-reports
Gaming Laboratories International
GLI Promotes Malvina Mikaelian and Reenesh Mahabeer to Senior Directors of Engineering
Gaming Laboratories International (GLI) has promoted Malvina Mikaelian and Reenesh Mahabeer to Senior Directors of Engineering.
Mikaelian has been with GLI for 22 years and is based in the Las Vegas lab. Over her history with the company, she has opened GLI’s South Africa and Las Vegas labs and has led the technical group through the most dynamic advances in gaming technology.
“Malvina brings a proven track record of technical leadership, operational excellence, and cross-functional collaboration. In her new role, she will lead strategic engineering initiatives, strengthen organizational execution, and help drive the next phase of innovation and growth for the global land-based division,” Andrea Bossard, Vice President of Engineering at GLI, said.
Mahabeer is based in GLI’s South Africa lab and has been with the company for just under 20 years, working his way from a Senior Engineer to his current position as Senior Director of Engineering. He has led his team through multiple changes in the South African gaming landscape, in both land-based and iGaming.
“Reenesh is a trusted, exceptional leader driving our global digital initiatives and accelerating innovation in emerging technologies. He combines vast market and technical expertise to deliver global consistency and a world-class experience for our clients, while inspiring peers and empowering his team,” Ginnie Hollis, Vice President of Engineering at GLI, said.
The post GLI Promotes Malvina Mikaelian and Reenesh Mahabeer to Senior Directors of Engineering appeared first on Americas iGaming & Sports Betting News.
Andy Hendrickson
IGT Executive Andy Hendrickson Expands Role to Become Chief Product & Technology Officer
IGT announced that Andy Hendrickson has expanded his role to become Chief Product & Technology Officer (CPTO), subject to receipt of all required regulatory approvals.
Hendrickson previously served as IGT’s Chief Technology Officer (CTO) since joining the merged IGT and Everi enterprise in 2025. He is recognized as a transformative technology executive behind industry-disrupting platforms and technologies that blend strategic vision with operational excellence to deliver measurable results at scale.
“I’m very pleased that Andy Hendrickson is expanding his role at IGT to become our Chief Product & Technology Officer, leveraging his vision and expertise across technology, products and solutions to help our global customers deliver industry-leading games to players while enhancing their operations. Andy’s leadership as CPTO ensures tighter alignment between our products and processes, and how we leverage world-class talent across our global game studios to create value,” IGT Incoming CEO Hector Fernandez said.
“I’m excited to expand my global technology leadership role to become IGT Chief Product & Technology Officer. I believe IGT has the ingredients to deliver industry-leading products and solutions to our customers, and with the strength of our game studio talent, disciplined content creation and product management, we are well-positioned for growth and innovation,” IGT CPTO Andy Hendrickson said.
Prior to joining IGT, Hendrickson served as CTO of one of IGT’s global competitors. Earlier in his career, Andy served as CTO of Activision Publishing and led technology for some of the world’s most successful console game franchises, including Call of Duty, Crash Bandicoot, and Sekiro. At Walt Disney Animation Studios, Andy led technology for blockbusters like Frozen. Earlier leadership roles include Head of Technology at Pacific Data Images/DreamWorks Animation, where he enabled multi-film annual releases including Shrek 2 and Madagascar, and Senior Technology Officer at Industrial Light & Magic, where he elevated visual effects to new creative frontiers.
A named inventor on multiple U.S. patents, Andy has led innovation spanning remote collaboration, stereoscopic depth rendering, and advanced image processing. His work has garnered film credits on landmark titles including Forrest Gump, The Mask, Men in Black, Frozen and Wreck-It Ralph, alongside numerous blockbuster gaming releases.
He holds a BA in Physics from the University of California, Berkeley, and is an active member of the Academy of Motion Picture Arts and Sciences, SMPTE, and ACM SIGGRAPH.
The post IGT Executive Andy Hendrickson Expands Role to Become Chief Product & Technology Officer appeared first on Americas iGaming & Sports Betting News.
Bill Carstanjen
CDI Announces Development Plans for Casino in Salem, New Hampshire
Churchill Downs Incorporated (CDI) has announced new development details related to its charitable gaming facility in Salem, New Hampshire. The company currently operates Casino Salem, located in 19,000 square-feet within The Mall at Rockingham Park. Casino Salem will be redeveloped as Rockingham Grand Casino.
Rockingham Grand Casino will occupy 160,000 square-feet over three floors and will feature 825 historical racing machines, 32 table games, 12 electronic table game seats, a 900-seat live entertainment venue, and several food and beverage concepts, including a center bar and full-service sports bar and restaurant. The Company received approval from the Salem Planning Board for its development plan in December.
Rockingham Grand Casino will be a key tenant of The Mall at Rockingham Park which is the largest shopping mall in New Hampshire. Rockingham Grand Casino is also positioned near Tuscan Village, a prominent mixed-use development offering dining, entertainment, retail shopping, residential areas, hotels, and commercial office space. CDI plans to open Rockingham Grand Casino in mid-2027, with an expected capital investment of $180-200 million.
“We are proud to officially begin our development of Rockingham Grand Casino in partnership with Joe Faro and Sal Lupoli. We look forward to contributing to New Hampshire’s charitable organizations while bringing outstanding entertainment experiences to our guests across the greater Boston region,” said Bill Carstanjen, Chief Executive Officer of CDI.
“We are excited to take the next step alongside our valued partners at Churchill Downs as we begin our journey to bring Rockingham Grand Casino to life. We remain fully committed to strengthening our local economy through the creation of vibrant consumer destinations,” said Joe Faro and Sal Lupoli.
The post CDI Announces Development Plans for Casino in Salem, New Hampshire appeared first on Americas iGaming & Sports Betting News.
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