Better Collective has celebrated a ‘record-breaking’ Q4 of trading as well as revealing accelerated growth in the US during 2022.
Offering investors a trading update for both Q4 and 2022, the group revealed that its US division is growing at 102% YoY as it seeks to become the dominant force in the US sports betting publishing industry.
Better Collective’s record-breaking Q4
The affiliate marketing firm achieved revenues of $92.7m during the fourth quarter of 2022, up 63% YoY, of which 44% was organic.
In the US, revenues during Q4 reached $36.5m, up 71% YoY, with several key factors going into the uptick.
Firstly, the sports betting market launch in Maryland proved to be a significant factor for Better Collective, which described the launch as ‘solid’ for its business.
Moreover, the FIFA World Cup helped to boost revenues as demand for soccer betting grew in the US.
The firm’s EBITDA before special items in Q4 was $37.9m, up 115% YoY at a margin of 41%.
On Q4 performance, Better Collective told investors: “Q4 proved to be a record-breaking quarter for Better Collective driven by a strong and broadly based performance combined with an extraordinarily well-performing men’s soccer World Cup and a solid launch of regulated sports betting in the US state, Maryland.
“Following a record-breaking Q4, Better Collective upgrades its organic revenue target from 20-30% to 34%.”
Turning toward the full year, Better Collective recorded revenues of $289.8m globally, increasing by 2% YoY, with 34% organic growth.
In the US, this was $100.2m, denoting growth of 102% YoY and beating the firm’s target of $100m in yearly revenues for 2022.
This growth was largely helped by its acquisition of Action Network which was completed in 2021 and helped the firm to drastically improve its North American standpoint.
The firm added: “In connection with the 2021 acquisition of Action Network in the US, Better Collective indicated a revenue estimate of “exceeding $100m” in 2022. During Q4, US revenue grew 71% and for the full year, US revenues grew 102%, which ends full-year revenue at $100.3m.
“It is worth noting that the US growth came on top of very strong revenue growth of 370% from 2020 to 2021. Further, reaching the estimate was done even after absorbing $15.8m moved from upfront payments (CPA) to future recurring revenue share income.”
Full-year EBITDA before special items stood at $91.6m, up 53% YoY at a margin of 32%.
Upon this unaudited data released today, Better Collective leadership has increased its full-year guidance, with revenue growth now anticipated to be 34%, up from 20-30%.