Brazil, California, Ohio & Peru fall on the Kambi wishlist
Kambi has outlined an array of jurisdictions which it boasts ambitions of having a “significant impact” on its operations in the not too distant future, with regions across the Americas firmly on the group’s radar.
It is California that is said to remain “one of the most attractive opportunities in the global sports betting market” due to sheer population size, with a pair of proposals on the year’s ballot which could permit the activity of either Indian-owned or commercial venues.
“Should either proposition gain sufficient public support, regulated sports betting could be available in California as soon as 2023,” the company noted.
Elsewhere in the US, Ohio is set to launch online and retain wagering as of January 1, 2023, where a multi-year Jack Entertainment alliance could be one of “multiple operators” that bring growth for the group.
In addition to praising “another state of significant size,” Kambi also noted that it has submitted its licence application within the region.
Further south and Latin America “continues to hold great promise for Kambi,” with recent developments in Peru, where congress has approved a bill to legalise online gaming and sports betting, first up.
“It is anticipated that regulated online gaming and sports betting will launch as soon as 2023 once implementing regulations are finalised,” it is disclosed.
Elsewhere, it is Brazil that is causing much optimism across the industry, with Kambi asserting that it is “well positioned to enter the market” when the time comes thanks to “ongoing expansion across the region”.
The company added: “It was recently confirmed that no moves to initiate regulation will be made before the election in October 2022.
“However, given that the original implementing statute requires market launch by December 2022, there is hope that any incoming regulation will try to launch as close to this date as possible.”
This comes as the company details continued trading difficulties through the second quarter of the year, with the sportsbook solutions provider registering further declines against the previous year’s figures.
The firm again cited tough comparatives within the January to June trading period in 2021, such as headwinds in the Dutch market, while also pointing to a disrupted sporting schedule due to the 2022 FIFA World Cup not taking place at the usual time.
A H1/Q2 trading report detailed a total half year revenue of €71.5m (H1 2021: €86m), alongside operating profit/EBIT of €12.2m (€35.3m), with a margin of 17.1 per cent (41 per cent).
Meanwhile, Q2 saw revenue of €34.7m (Q2 2021: €42.8m) and operating profit of €4.9m (€16.6m), at a margin of 14.1 per cent (38.8 per cent). Second quarter and total half year revenue represented a year-on-year drop of 19 per cent and 16.8 per cent respectively, with earnings down six per cent against the previous quarter.
“This is an exciting time for Kambi. The product journey we are on today along with our healthy balance sheet and positive underlying financial performance means we are on a strong footing for the future,” commented Kristian Nylén, Kambi CEO.
“We were delighted to see Kindred relaunch in the Netherlands recently and with more product launches, partner signings and a World Cup to come, I look forward to an even greater second half of the year.”