Overview
Kindred Group, in its financial report for the first quarter of 2024, disclosed a total revenue of £307.7m ($382.4m), showing a marginal increase of £0.7m from the previous year’s figure. Despite this stagnation in revenue growth, the company saw positive developments in various segments.
Financial Performance
The Q1 2024 financial report demonstrates promising growth in EBITDA and adjusted EBITDA, which rose by 23.3% to £58.3m and 20% to £59.3m respectively compared to the same period last year. Profit before tax increased by 30.9% to £39.8m, while after-tax profit also experienced a notable surge, up by 22.7% to £31.4m.
Customer Base
One of the significant highlights of this quarter was the expansion of active customers by approximately 44 million, reaching a substantial 1.67 billion customers.
Market Performance
Despite the stable revenue growth, the stock prices of Kindred Group showed minimal fluctuation around SEK 123.30 ($11.35) at the time of the report’s publication on March 24. The trading range remained tight, oscillating between SEK 123.60 and SEK 123.10.
Risk Management
The report highlights that 3.2% of Kindred’s Q1 revenue was generated from high-risk players, emphasizing the importance of robust risk management strategies within the company.
CEO’s Comments
Nils Andén, the CEO of Kindred Group, expressed optimism regarding the results, particularly highlighting the company’s increased share of gross winnings revenue from locally regulated markets, which reached an all-time high of 84%. This underscores Kindred’s commitment to sustainable revenue practices and its role in contributing positively to society.
Looking ahead, Andén mentioned the company’s focus on upcoming sporting events like the UEFA Euros, the Copa America, and the Paris Olympics, indicating a strategic outlook for the upcoming quarters.
Kindred Group’s Q1 2024 financial report reveals a mix of steady revenue growth and notable improvements in key financial metrics. The increase in EBITDA, adjusted EBITDA, and profits before and after tax point towards a positive trajectory for the company. With a vast and growing customer base, coupled with strategic market focus and risk management practices, Kindred Group appears well-positioned to navigate future challenges and capitalize on upcoming opportunities, particularly in the sports betting sector. CEO Nils Andén’s upbeat outlook further emphasizes the company’s commitment to sustainable growth and engagement with major sporting events in the months ahead.