Kambi posts Q3 results amidst LeoVegas contract renewal

ier today, Kambi posted its financial results for the third quarter of 2017. The company’s revenue amounted to €14.8m in the third quarter period, totalling €43.1m for the first nine months of the year.Operating profit (EBIT) for the third quarter of 2017 was €1.1m, with a margin of 7%, and €2.7m for the period January to September 2017, with a margin of 6%.Kristian Nylén, Chief Executive Officer commented on the results, saying: “In many ways, Q3 could be viewed as a springboard quarter for Kambi. I’m pleased to report Kambi was able to continue its progress, with operator turnover rising 16% year-on-year versus a period which included the final stages of Euro 2016 and the Olympic Games.”Furthermore, profit after tax only amounted to a disappointing €0.8m in Q3, which was due to a number of substantial costs outlined by Nylén: “The period saw us face a particularly tough revenue comparative in terms of both an equally strong trading margin in Q3 2016 and the impact of the 888sport contract renewal. Despite these factors, we still managed to post revenues on a par with Q3 last year.“In light of the evolving landscape, this quarter also saw us complete an in-depth strategic review of the business. This led to improvements to our strategy, processes and organisational structure, and re-affirmed our belief that we possess a unique capacity to build a high-performance Sportsbook.”In this period, Kambi launched with Greentube in Italy and Romania, and with LeoVegas in Germany, with Mr Green showcasing a new version of its Kambi-powered sportsbook.Amidst the Q3 financial results, Kambi also announced the extension of its long-term contract with LeoVegas. Both companies agreed on a multi-year contract extension, which will see Kambi continue to provide is sportsbook and technology services to the Swedish gaming company.Commenting on the contract renewal, Nylén said: “Contract renewals are always pleasing, as they re-affirm the strength and relevance of the Kambi product, as well as the strong relationships we foster with our customers.”