Scout Gaming has published its results for the third quarter of 2021 (Q3 2021).
Extract from CEO Andreas Ternstrom’s commentary to the Interim Report.
“During the quarter, we have worked intensively to launch our tier 1 clients. An example is Norsk Tipping, which now has launched Fantasy Sports games for real money. After the end of the quarter, we launched Fantasy e-sports with Razer and we will launch with ATG before year-end. These tier 1 clients will generate growth during 2022 and beyond. Launching tier 1 customers is the most important cornerstone of our strategy.
“The operator index was unchanged compared with the previous year, which is primarily due to a very strong development during the third quarter of 2020 when the Group benefited from the condensed calendar of sporting events after Covid-related disruptions – there have not been as many fantasy-related, playable events in the third quarter. Compared with the third quarter of 2019, the index increased by 168 percent.
“Revenues were negatively affected in relation to last year for the reasons mentioned above. As a result, however, we had lower marketing costs during the quarter, which in turn resulted in an improved EBITDA compared to the previous year. This in turn shows the flexibility of our underlying business and that the work of optimizing our marketing costs is functioning.”
Highlights
Quarter July – September 2021
- Revenues were mSEK 12.2 (15.0), a decrease with 19% compared to corresponding year.
- EBITDA improved to mSEK -6.3 (-11.6).
- Net result was mSEK -11.9 (-13.4)
- Earnings per share amounted to SEK -0.6 (-0.7)
- Operator trading index (which illustrates the underlying client activity) was 2,410 (2,421).
- Scout Gaming conducted a directed share issue of approximately 2 million shares on a subscription price of 27 SEK, amounting to mSEK 54.
- Subscribers were Ellerston Capital Limited, Topline Capital Partners LP, Lupus alpha Investment GmbH, Scobie Ward (SWIM Capital), Knutsson Holdings AB and Provobis Holding AB.
- Scout Gaming has launched its fantasy software in a “social gaming” version.
- Regarding the above platform, Scout Gaming has signed 3 agreements in the US market, Masters Cup Series, a billiard tour in the US, Skylands Events and University Sports & Entertainment regarding the baseball league “Frontier League” and “eFangage” with Backal Hospitality Group, where the product will be used as a gaming platform for the relationship between sport bars / restaurants and their visitors.
Interim period January – September 2021
- Revenues amounted to mSEK 39.5 (30.0)
- EBITDA amounted to mSEK -34.6 (-33.4)
- Net result amounted to mSEK -38.1 (-40.7)
- Earnings per share amounted to SEK -1.7 (-2.3)
- Events after the period ended
- Scout Gaming has launched Betano (part of Kaizen Gaming) in Brazil.
