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Kambi Group plc Q1 Report 2022

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Financial summary

  • Revenue amounted to €36.9 (Q1 2021: 43.2) million for the first quarter of 2022, a decrease of 15%
  • Operating profit (EBIT) for the first quarter of 2022 was €7.3 (18.7) million, at a margin of 19.9% (43.2%)
  • Profit after tax amounted to €5.4 (15.1) million for the first quarter of 2022
  • Earnings per share for the first quarter of 2022 were €0.178 (0.487)
  • Cash flow from operating and investing activities (excluding working capital movements and acquisitions) amounted to €5.5 (16.5) million for the first quarter of 2022
  • The 2022 AGM will be held on 17 May 2022. The Board proposes that no dividend is paid out.

Key highlights

  • Strong financial performance against tough 2021 comparatives and Netherlands headwinds, with operator turnover up 25% when adjusting for the migration of DraftKings
  • Extended long-term partnership with Kindred Group until 2026 and announced full control over strategic future with ability to repay convertible bond held by Kindred
  • Strengthened North American partner network with the signings of online operators NorthStar Gaming and MaximBet
  • Showcased product excellence during the Super Bowl and March Madness while also providing complete platform stability unmatched by various high-profile US sportsbooks
  • Obtained regulatory approval in Ontario, Canada, and subsequently launched with partners on day one of the market opening in Q2

“The first quarter of the year proved to be another busy period at Kambi as we delivered new partner signings, contract extensions, continued market expansion and multiple product and technology advancements. 

Operator turnover was up 25% when adjusting for the migration of DraftKings which proves the underlying financial performance of the business remains strong. This growth comes despite being up against tough Q1 2021 comparatives and the temporary impact of regulatory headwinds in the Netherlands, which we expect to ease soon. Turnover was driven by a busy US sporting calendar, including the Super Bowl and March Madness, the US college basketball championship, and I was proud to see Kambi provide its partners with a market-leading offering and platform stability unmatched by some of the most high-profile B2C sportsbooks.

In terms of contract extensions, in February we signed a new agreement with Kindred to continue our very successful partnership which will develop over time to best support the evolving strategies of both companies over the longer term. This agreement is very much reflective of what we see in the wider industry, with some top-tier operators adopting a hybrid approach to technology by blending first-class third-party services with proprietary elements. The industry is now broadly divided into two operator types – those that outsource their sportsbook entirely and those that outsource to varying degrees. As we continue to develop a more open and modularised sportsbook, we believe we’ll become even more attractive to the former group, while also significantly widening our addressable market by making select products and services available to the latter for the first time.

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I am particularly pleased with the momentum Kambi continues to build across North America. During the quarter, Kambi completed a total of 11 partner launches in the US and signed two new partnerships with North America-facing operators NorthStar Gaming and MaximBet, the latter moving away from its predominantly in-house technology strategy. With regulation across North America moving at pace, and states such as California, Texas, and Ohio yet to go live, I have never been more confident in our position to capitalise on the opportunities this vast market presents. 

In Canada, our excellence in compliance and regulation enabled us to become one of the first sportsbook providers to obtain regulatory approval from the Ontario regulator, ensuring our partners were up and running on day one of single-event sports betting going live in the province earlier this month. Ontario promises to be one of the largest sports betting markets in North America and we look forward to the prospect of additional Canadian partner signings as well as other provinces establishing their regulatory frameworks.

We remain steadfast in our commitment to strengthening our position as the world’s leading sportsbook and continuing to provide exciting sports betting experiences for players. To deliver this requires a strong core platform with the crucial flexibility to facilitate localised offerings to satisfy the varying regional demands. This capability, which we demonstrate across the 40-plus regulated markets we operate in today, will be pivotal to our global success as the expansion of sports betting regulation continues the world over, in turn creating ever more exciting business opportunities. 

In short, the future looks bright for Kambi with high interest in the sportsbook and services we offer today, as well as those we are developing for tomorrow. As discussed in the previous report, the ability to repay the convertible bond held by Kindred provides us with complete freedom to make strategic decisions that will deliver value for all stakeholders. With Kambi reaching the milestone of 40 partners during the quarter, the scale of the Kambi network has never been greater nor more diverse, and I believe we have only scratched the surface of what’s possible.”

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Champions League Drama & EPL Showdown — WinSpirit Launches Betting Series with 2,500 USD in Freebets

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March brings some of the most anticipated football clashes across Europe, including Champions League knockout battles, Premier League showdowns, and UEFA Nations League fixtures. To mark the occasion, WinSpirit has introduced a dedicated Weekly Tournament Series, giving bettors the opportunity to compete across four weeks and claim a share of the Freebet prize pool.

4 Weeks. 4 Tournaments. 2,500 USD in Freebets.

As the football calendar intensifies with Liverpool vs. PSG, Arsenal vs. Chelsea, and Germany vs. Italy, WinSpirit introduces a new Weekly Tournament Series designed to bring even more excitement to sports betting. Across four weeks, participants can compete in a points-based system, with the top 10 players in each tournament earning Freebets.

Tournament Schedule & Prize Pool

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  • March 7–11 – 500 USD in Freebets
  • March 14–18 – 500 USD in Freebets
  • March 21–25 – 500 USD in Freebets
  • March 28–April 1 – Grand Finale: 1,000 USD in Freebets

How to Join the Action

  • Place bets with min odds of 1.50
  • Earn 1 point for every qualifying bet (1 EUR = 1 point)
  • Climb the leaderboard and finish in the top 10 to win

The Weekly Tournament Series will be available on the WinSpirit platform according to the schedule. Stay tuned for more upcoming tournaments on the WinSpirit website.

The post Champions League Drama & EPL Showdown — WinSpirit Launches Betting Series with 2,500 USD in Freebets appeared first on European Gaming Industry News.

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How to Drive Traffic Without Caps and Earn Without Limits? Betmen Affiliates x Marsa Team

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If you – as an affiliate marketer – can generate quality traffic, then you can easily secure offers with competitive CPA rates. However, these often come with limited daily caps – a well-known pain point in the market. Advertisers are afraid of running into high costs, are reluctant to share other GEOs with advertising networks, or simply don’t trust you.
The problem of limited caps becomes even more apparent when resources allow affiliates to drive traffic in large volumes, and due to constant caps, partners have to gather dozens of offers at once in order to earn.
In this article, Betmen Affiliates and Marsa Team explain how to go about building relationships in the iGaming market. We discuss how the two companies worked using a spend-based traffic payment model with no volume limitation, and why such conditions are a real growth opportunity for affiliate marketers.

How Teams Typically Take on Offers and What Problems They Face
When an Affiliate Sales Manager agrees on an offer’s terms, rates and an offer’s technical aspects, the next step for partners is the test run. This usually involves 25-50 FTDs (first-time deposits). After the traffic is delivered, the advertiser checks the profitability over 1-2 weeks, analyzing player behavior, the percentage of bonuses that were used, and other metrics.
If the traffic quality is deemed suitable, the affiliate is given a small daily cap. The CPA rate, however, remains unchanged or increases slightly, resulting in little profit to the affiliate marketer in this collaboration.

We can see two issues with this partnership model:

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1. Limited scaling opportunities. Very often, the advertiser is not willing to provide a significant increase in the cap — for example, offering 70 daily FTDs instead of 50. Volumes such as these are insufficient for a large team of affiliate marketers. This means new offers must constantly be found leaving the affiliate team to, each time, have to adapt to a new product and new conditions. Circumstances such as these make it hard to predict profits.

2. Even a converting offer might not be profitable. Let’s say an affiliate team has a good deal whereby they provide high-quality traffic and bring in a positive – though not high – ROI of 30%. With a volume of 50 daily FTDs, income is indeed insignificant. With a CPA of $100, in a month, an affiliate team could earn:

This offer results in a profit of around $1,000 per day. Working with the advertiser under these conditions is pointless if the offer can’t be scaled. However, if volumes were increased tenfold with profits of $349,000, the situation would certainly be more appealing, right?

The Uncapped Model Used by Marsa Team and Betmen Affiliates
To transition to an uncapped model, partners had to achieve a certain level of traffic quality without increasing the cost of acquiring deposits to critical levels. Team leads from both sides communicated regularly to solve problems together: they worked on targeting by excluding smaller cities, adapted age groups, and adjusted creative approaches. The Marsa Team was open to suggestions, and the quality of traffic started to improve.

Quality traffic always leads to higher lead costs, so Betmen Affiliates suggested that the Marsa team switch to a spend-based payment model and drive traffic at any volume – a proposal which was much more interesting and profitable than working on a CPA basis.

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The spend-based model works like this: after selecting the GEO and setting the deposit price, partners receive a fixed percentage of the amount their advertising expenses for meeting their target. The quality of the traffic is evaluated as a percentage based on the 14-day Deposit OAS: for example, if you agreed on terms of 25% on the amount spent with a 70% 14-day Deposit OAS, you would earn $2,500 for every $10,000 spent on advertising.

The main difference with the spend-based model is that the same lead may cost $100 under a CPA model and twice as much when working on a spend-model. This means that the team sets its own cost per lead. The only condition is higher traffic quality: the advertiser will expect that these types of players will show better results than those acquired through CPA.

 

How to Get an Uncapped Offer and Other Traffic Conditions
We have two main recommendations:

  1. Build a relationship of trust with the advertiser. Approach requests to improve traffic quality not as a signal to terminate the offer but as an opportunity for long-term cooperation. The advertiser can always help with recommendations and advice — optimize campaigns together, and the partner will notice that you’re interested in mutual success.
  2. Test multiple approaches and analyze all available metrics. If you want to drive traffic using the spend-based model with no caps, you’ll need to find an approach that gives you the most cost-effective FTD acquisition price and provides the advertiser with the required quality.

It may take months before you and your partner come to a mutual understanding, but the numbers speak for themselves as it is well worth it!

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Where to Get an Uncapped Offer?
At Betmen Affiliates, we aim for long-term and mutually beneficial cooperation. All you need to do is bring in quality traffic, and in return, we’ll purchase all your traffic volume. Register on the Betmen Affiliates website to kickstart a productive, successful collaboration.

The post How to Drive Traffic Without Caps and Earn Without Limits? Betmen Affiliates x Marsa Team appeared first on European Gaming Industry News.

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Diego Mourglia

Salsa Technology ready to engage with industry leaders at SAGSE Latam

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Salsa Technology is attending SAGSE Latam 2025, one of the most important gaming events in Latin America, taking place on March 19-20 at the Hilton Buenos Aires, Argentina.

Representing Salsa Technology at the event, CTO Diego Mourglia will connect with current and potential clients, providers, and key industry partners. He will also be available to discuss Formula-Bet, Salsa’s robust technology ecosystem, which includes Salsa Omni, a fully certified PAM that integrates seamlessly with Salsa Gator, an extensive proprietary gaming aggregator, as well as with top sportsbook providers and payment solutions.

“SAGSE Latam is a key event for the region, and I’m excited to once again meet with industry leaders in Buenos Aires,” said Diego Mourglia, CTO of Salsa Technology. “Salsa was born in Latin America and has an unmatched understanding of the market dynamics in Brazil, Argentina, and other markets across the region. Our technology is designed for the realities of the local industry, and our team is strategically located to provide expert support in Portuguese and Spanish, as well as in English, aligned with the region’s time zones and business needs.”

With a strong focus on Latin America, Salsa Technology continues to support operators looking to expand in regulated markets with fast, reliable, and compliant solutions tailored to the region’s needs.

The post Salsa Technology ready to engage with industry leaders at SAGSE Latam appeared first on Gaming and Gambling Industry in the Americas.

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