Favourable sporting results to boost Kambi profits
Positive football results in top European leagues sees Kambi’s trading margin hit 9.7% ahead of Q4 figures
Sportsbook provider Kambi has hailed the benefits of favourable sporting results in Q4 that will boost revenues and profits although have a dampening effect on turnover.
The provider issued a trading update yesterday, reporting a Q4 trading margin of 9.7% significantly ahead of the projected 6.5-7% average.
Danske Bank analysts are predicting revenues of €19m for Kambi, good for year-on-year growth of 33%, as well as EBIT at €4.8m, a rise of 163% on the prior-corresponding-period.
Danske Bank said Kambi’s 9.7% sportsbook margin was boosted by the busy fixture list in Q4, along with a particularly strong December for sportsbook operators.
Results were especially favourable in Europe’s top football leagues, which amount for 70% of Kambi’s sportsbook offering.
Kambi said: “The trading margin can fluctuate from quarter to quarter and therefore we do not see any reason to adjust our projections of the average long-term trading margin.”
The provider’s share price has risen 9% since the announcement yesterday afternoon.