Outgoing Kambi CEO Kristian Nylén said he is “not satisfied” with the group’s recent financial performance but said its Q4 results have shown “good progress” for the future.
Excluding the one-off termination free from Penn Entertainment recorded in Q4 2022 relating to Penn’s online migration, revenue of €44.3m represented a 2 per cent decrease for Q4 2023.
However, full-year 2023 revenue of €173.3m translated to a 13 per cent increase, also excluding the termination fee.
Overall, Kambi recorded underlying turnover growth of six per cent.
Nylén said Kambi’s 2023 was impacted by “lower than anticipated revenue” from Shape Games and “smaller than expected revenue contributions from two of our largest partners.”
He added that Bally’s “more measured approach to marketing its sportsbook thus far” is also having an effect.
“My second reflection is we made good progress in building the foundations that will ultimately lead to a much-improved financial performance in the future, giving me confidence we’re on the right path for the long-term,” Nylén added.
“These foundations include the numerous partner signings and renewals made last year, headlined by the partnerships with Bally’s Corporation, LiveScore Group and Svenska Spel, which we expect to deliver a meaningful revenue contribution from H2 2024.
“We also continue to work on our modularisation capability and believe with Abios, Shape Games and now Tzeract, the positive commercial conversations we’re having with regards our strong product portfolio will increasingly bear fruit during the year ahead.”
Nylén said Kambi’s long-term strategic direction “remains unchanged” despite his impending departure.
“Our resilience, strategic progress and commitment to product excellence have set us up well for the future and, as we move forward, we do so with great optimism for the journey ahead,” he said.
Kambi chair Anders Ström said the search for a new CEO is “progressing according to plan,” with the aim to finalise an appointment prior to the summer period.
