Strong US performance bolsters Better Collective’s 2021 growth

Better Collective has reported its trading update for the first quarter of 2022, praising a ‘record financial performance’ thanks to exceptional US growth that outperformed expectations. 
Image: Better Collective

Better Collective has praised a “year of many opportunities” in its 2021 interim report, citing Q4 growth thanks to a strong US performance and an “all-time high intake of new depositing customers”.

Publishing its report for the 12 months ended December 31, 2021, Better Collective declared group revenues of $59m, a 44% improvement year-over-year in comparison to Q4 2020.

The firm’s organic revenue grew by 25%, while its number of new depositing customers (NDCs) increased by 74% to more than 267,000 as well. Group EBITDA for Q4 also rose by 16% YoY as well to $18.22m (Q4 2020: $15.76m).

CEO and Co-Founder Jesper Søgaard commented: “An all-time high intake of NDCs in Q4 and an overall strong performance of our business mark the ending of 2021 – a year of many new opportunities for Better Collective.

“Our US business delivered prime results following the start of the NFL season, contributing almost 40% to the total quarterly group revenue.”

In its report, Better Collective highlighted the completion of its acquisition of US-based RotoGrinders Network at a total price of $36.88m.

The Danish publishing network initiated a share buyback program one month after the acquisition closed, to “cover future payments relating to completed acquisitions and incentive programs for up to €10m”.

Søgaard added: “The US market is already the single biggest market for Better Collective and is approaching the same profitability as our European publishing business.

“We have established ourselves with strong American sports betting brands, including the recently acquired Action Network. Since the time of consolidation, Action Network has been growing its audience significantly and has persistently delivered strong results across all main KPIs.

“In 2022, more states are expected to open for online sports betting and igaming which will facilitate further business opportunities and growth for Better Collective.”

Better Collective also praised a “solid performance” across Europe, as Søgaard mentioned the firm’s ability to adjust to changing regulatory conditions and COVID-related developments.

“In our European business, we have seen solid performance in a changing regulatory environment. Germany implemented new regulation from 1 July, while the Netherlands implemented new regulation allowing for online betting for the first time on 1 October,” the CEO said.

“Other countries such as Sweden, Spain, and Italy adopted different kinds of temporary measures for consumer protection during the COVID-19 pandemic. I am truly proud of our teams managing to adapt to these rapid changes in due time and with the right measures.”