Kindred is to exit the North American market and cut over 300 jobs in the process, with interim CEO Niles Andén backing the move to secure “long-term growth” for the group across its locally regulated core markets.
Andén said it is “never a desire” to make staff redundant but said the measures will save approximately £40m and allow the group to “focus our resources and tech capacity towards strategic initiatives and selected markets where we see clear potential to grow our market share.”
Kindred said it aims to have completed its exit from the North American market by the end of Q2 2024 as it continues the strategic review of its operations launched in April.
The decision comes as Kindred regained its leading position in the Netherlands in Q3, one year after its re-entry to the market.
The group also enjoyed UK year-on-year growth of seven per cent.
However, Andén said “disappointing sports betting levels across core markets, combined with a lower sports betting margin than our long-term average, negatively impacted overall performance.”
Total revenue increased two per cent year-on-year in Q3 to £283.9m, while underlying EBITDA increased by six per cent to £42.6m. Profit after tax was £12.6m and the number of active customers increased by seven per cent to 1.56m
For the year-to-date up to September, total revenue reached £897.6m, up 18 per cent year-on-year.
