FansUnite has expressed excitement over its financial results in Q2 while outlining a desire to support its growth with expansion into more North American markets.
The Vancouver-based betting and gaming firm reported total revenue of $5.3m between Apr. 1 – June. 30, an increase of 14% over Q2 FY2022, as well as gross margin of $3.3m (62%), up 70% compared to $2m (41%) during the same period last year.
Furthermore, EBITDA of $4.3m represented an increase of $15.3m YoY (Q2 FY2022: $11.1m).
“We are excited to announce a significant increase in revenue and gross margins during the second quarter of Fiscal 2023,” said Scott Burton, CEO of FansUnite.
“During the quarter, we saw a 14% increase in revenues year-over-year while our overall gross margins exceeded 60% due to our focus on higher margin operations.
“This renewed focus allowed us to record an EBITDA of $4.3m during the quarter which was up from a loss of $11.1m during the same quarter last year.”
The second quarter of 2023 was also significant as the firm sold both its Chameleon igaming platform and McBookie, the Scotland-focused sportsbook and online casino.
FansUnite cited the tightening of regulations in the UK as a leading factor in its decision to sell McBookie while the sale of Chameleon to Betr was heralded as a ‘transformational transaction’ for the company.
Both sales also open up further opportunities in other areas, according to Burton.
He added: “Following the sale of McBookie and the Chameleon igaming platform, we will focus more on growing business segments that produce significant cash flow.
“We intend to achieve this goal by scaling our affiliate business segment, led by Betting Hero, which has generated substantial revenue and high gross margins as well as identifying more opportunities to improve our operational and financial efficiency.”
FansUnite is also looking to enter new North American markets once legislation is in place to regulate sports betting and igaming in those markets.
Additionally, the firm plans to grow Betting Hero’s additional revenue streams, namely Betting Hero Hotline and Betting Hero Research.