Better Collective, a leading affiliate in the gaming industry, has announced its financial results for the first quarter of 2024. The figures reveal a notable 8% increase in revenue year-on-year, reaching €95 million ($103.12 million). This performance highlights the company’s resilience and ability to maintain growth even in a competitive market.
Better Collective Reports Robust Q1 2024 Financial Results
Revenue Growth and Recurring Revenue Surge
In Q1 2024, Better Collective’s recurring revenue was a standout, showing a significant 14% rise from the same period last year, totaling €53.3 million. This growth in recurring revenue underscores the company’s success in securing a stable and predictable income stream. The incorporation of audience-driven revenue from Playmaker Capital has significantly contributed to this rise, signaling a higher quality of revenue sources.
EBITDA and Profit After Tax
The company’s EBITDA for Q1 2024 was valued at €29 million, a 13% decrease from the previous year’s figure. Better Collective has attributed this decline to the extraordinarily strong performance in Q1 2023, making the dip expected. Despite this, the company’s EBITDA remains robust, reflecting its operational efficiency and strategic investments.
Profit after tax experienced a decline, falling to €7.6 million from €20.9 million in Q1 2023. This reduction in profit is linked to the exceptional circumstances of the previous year, which saw unprecedented financial results.
CEO’s Insight on Q1 Performance
Jesper Søgaard, Co-Founder and CEO of Better Collective, provided valuable insights into the company’s Q1 2024 performance. He remarked, “Despite these circumstances, Q1 marked another strong quarter for Better Collective with revenue increasing by 8% to €95 million. It is worth noting that our recurring revenue grew 14% to €53 million, now including significant audience-driven revenue from Playmaker Capital, hence signaling another quarter of higher quality.”
Søgaard’s comments highlight the company’s strategic growth and the success of their diversification efforts, particularly in integrating new revenue streams.
Regional Performance Highlights
Outstanding Growth in Europe and ROW
Better Collective experienced impressive growth in Europe and the Rest of the World (ROW), with a notable 20% increase in revenue, 5% of which was organic. This growth was driven by a comprehensive impact across various markets, leveraging the company’s owned and operated channels and strategic media partnerships. This performance underscores Better Collective’s ability to adapt and thrive in diverse regional markets.
Strengthening Position in North America
The North American market also demonstrated significant progress in Q1 2024. Better Collective’s commercial position has never been stronger, with active partnerships established with all major players in the region. This strategic expansion in North America is a testament to the company’s effective market penetration and partnership development strategies.
Strategic Initiatives and Future Outlook
Enhanced Market Strategies
Better Collective’s success in Q1 2024 can be attributed to its enhanced market strategies, focusing on expanding its digital footprint and leveraging strategic partnerships. The company’s emphasis on owned and operated channels has played a crucial role in driving organic growth and ensuring sustained revenue streams.
Investment in Technology and Innovation
Investing in technology and innovation remains a cornerstone of Better Collective’s growth strategy. By continually upgrading its technological infrastructure and incorporating innovative solutions, the company has maintained a competitive edge in the dynamic gaming affiliate industry.
Commitment to Responsible Gambling
Better Collective continues to prioritize responsible gambling, ensuring that its platforms promote safe and responsible betting practices. This commitment not only enhances the company’s reputation but also aligns with regulatory requirements across different markets.
Challenges and Adaptations
Navigating Regulatory Changes
The gaming affiliate industry is subject to stringent regulatory changes, and Better Collective has adeptly navigated these challenges. By staying ahead of regulatory developments and adapting its strategies accordingly, the company has managed to sustain growth and compliance.
Market Competition
Despite the competitive nature of the market, Better Collective has consistently outperformed its competitors through strategic differentiation and value-added services. The company’s focus on high-quality content and user experience has been pivotal in attracting and retaining a loyal customer base.
Conclusion: The Financial Results
Better Collective’s Q1 2024 financial results underscore the company’s strong market position and strategic growth initiatives. With an 8% increase in revenue and a 14% rise in recurring revenue, the company has demonstrated its resilience and ability to adapt to market dynamics. Despite a decrease in EBITDA and profit after tax, Better Collective’s performance remains robust, setting a solid foundation for future growth.
The company’s success in Europe, ROW, and North America highlights its effective market penetration and strategic partnerships. As Better Collective continues to invest in technology, innovation, and responsible gambling, it is well-positioned to sustain its growth trajectory and achieve long-term success.
FAQs on Better Collective’s Q1 2024 Financial Results
1. How much did Better Collective’s revenue increase in Q1 2024?
Better Collective’s revenue increased by 8% year-on-year in Q1 2024, reaching €95 million ($103.12 million).
2. What was the growth in Better Collective’s recurring revenue in Q1 2024?
The recurring revenue grew by 14%, amounting to €53.3 million in Q1 2024.
3. How did Better Collective’s EBITDA perform in Q1 2024 compared to Q1 2023?
The EBITDA for Q1 2024 was €29 million, which was a 13% decrease from Q1 2023. This decline was expected due to the extraordinary performance in the previous year.
4. What was the profit after tax for Better Collective in Q1 2024?
The profit after tax was €7.6 million, down from €20.9 million in Q1 2023.
5. What contributed to the growth in Better Collective’s recurring revenue?
The incorporation of audience-driven revenue from Playmaker Capital significantly contributed to the 14% growth in recurring revenue, indicating a higher quality of revenue sources.
6. How did Better Collective perform in Europe and the Rest of the World (ROW) in Q1 2024?
Better Collective experienced an impressive 20% growth in revenue in Europe and ROW, with 5% being organic growth. This was driven by a comprehensive impact across various markets and strategic media partnerships.
7. How did Better Collective fare in the North American market in Q1 2024?
Better Collective saw significant progress in North America, strengthening its commercial position with active partnerships established with all major players in the region.
8. What strategic initiatives contributed to Better Collective’s success in Q1 2024?
Enhanced market strategies, investment in technology and innovation, and a commitment to responsible gambling were key strategic initiatives that contributed to Better Collective’s success.
9. How is Better Collective addressing regulatory changes in the gaming affiliate industry?
Better Collective navigates regulatory changes by staying ahead of developments and adapting its strategies accordingly, ensuring sustained growth and compliance.
10. What challenges did Better Collective face in Q1 2024, and how did it adapt?
Better Collective faced challenges such as stringent regulatory changes and market competition. It adapted by focusing on high-quality content, user experience, and strategic differentiation to attract and retain customers.
11. What is the future outlook for Better Collective following Q1 2024?
Better Collective is well-positioned for sustained growth, with a solid foundation built on strategic partnerships, technological investments, and responsible gambling practices. The company aims to continue its positive trajectory and achieve long-term success.
