Kambi Group reports a 2% year-over-year revenue growth, reaching €43 million ($46.3 million) in the third quarter of 2024.
From January to September, revenue grew by 2.3% to €132 million. However, operating profit (EBIT) fell by 21.7% to €3.6 million, with an EBIT margin of 8.3%.
Earnings per share in the third quarter of 2024 decreased by 29.1% to €0.083, while earnings per share from January to September increased by 12.7% to €0.345.
The company also announced a €12 million share buyback program, effective from November 2024 to May 2025, aimed at managing capital.
Key Partnerships and Expansion
This quarter, Kambi established new partnerships and renewed agreements. A multi-year contract with Hard Rock Digital in the US will integrate Kambi's new product, Odds Feed+, as part of its modular approach.
Kambi also expanded its partnership with Rush Street Interactive in the Americas and reached an agreement with Brazil's KTO Group, planning to launch a regulated sports betting market in early 2025.
Market Expansion and Product Launches
Several platforms were launched in the third quarter. In the Americas, Kambi assisted Bally's Corporation in starting operations in Maryland, Massachusetts, and Tennessee.
In Europe, products were launched under the brands 711 in the Netherlands and Paf in Spain. After the quarter ended, Kambi helped launch products for Bally's in Tennessee, Nexus's Olimpo.bet in Peru, and LeoVegas's BetMGM in Sweden.
Operational Metrics and Financial Performance
Driven by events like the 2024 European Championship and Copa America, the company's operator turnover index rose by 14% to 687.
Benefiting from favorable sports event outcomes, the operator trading profit margin increased to 10.4%. Football was the main source of revenue, with American football and tennis also contributing.
Product Development and Modularization
Kambi launched Odds Feed+, advancing its modular strategy that allows operators to access betting odds through a single API. This move is intended to complement Kambi's managed trading and bet builder products and has attracted new clients, including Brazilian fantasy sports operator Rei do Pitaco.
Outlook and Cost Management
CEO Werner Becher stated, "We are carefully considering our cost base and have identified areas we believe can operate more efficiently in the future. This includes achieving additional synergies through acquisitions and further evaluating the use of artificial intelligence across our operations to reduce our potential costs."
It is noteworthy that despite lower quarterly profits, Kambi expects full-year revenue to be between €172.5 million and €175.5 million, with total expenses projected to be between €155 million and €157 million.
Kambi recorded a 6.5% year-over-year revenue increase to €45.7 million in its second quarter of 2024 report, a higher growth rate than in the third quarter.
In the second quarter, Kambi also strengthened its business in the US by launching services in collaboration with the Choctaw Nation in Oklahoma, LiveScore in the UK, and Svenska Spel in Sweden, supporting the company's growth trajectory across multiple regions.
