Kindred Group, the online gaming operator featuring brands like RoxyPalace, Unibet and 32Red, enjoyed a profitable end of the year per recently released quarterly reports. The company’s fourth quarter of 2017 yielded double digit growth in each of its key verticals, including a 55% boom in gross winnings revenue.
Kindred climbed from £152.8m at the end of 2016 in that category to a new high of £238m last December. Profits rose a whopping 72% from £29.4m to £50.8m in the same time frame, with earnings before interest, taxes, depreciation and amortization seeing a near-90% rise to £74.5m from £39.3m. CEO Henrik Tjärnström released this statement accompanying the results:
“Strong growth across our major markets and an exceptional sportsbook margin approximately 50 per cent above the long-term average, have resulted in record revenue and profitability for Kindred Group in the fourth quarter of 2017. Our investments in marketing and product development have also resulted in an all-time high in EBITDA and number of active customers."
“The strong performance of the Group resulted in an increase in free cash flow of 78 per cent for the full year 2017. The Board has reviewed the cash requirements for 2018 and is proposing a cash dividend of GBP 0.551, which represents a growth of 78 per cent compared to the previous year.”
32Red online casino was a major contributor to the results with £18.8m during the 2017 fourth quarter thanks to a 15% increase in customers from 2016 to 2017. The site prides itself on excellent customer service available 24/7 in 7 different languages while offering gamers high limit options both online and mobile.
Offering online gaming to a wealth of the largest gambling jurisdictions, the 32Red brand is not only an established name in the industry, the operator is considered one of the pioneers into mobile gaming. Creating a mobile site that mirrors the desktop version was not always the norm but thanks to brands like 32Red, it is now.
Moving onto successes of other Kindred brands in 2017, a Unibet player won an incredible jackpot of £6.9 million (€7.7 million) playing the online Mega Moolah slot game. The massive win and increased media coverage for Unibet occurred much to the enjoyment of their casino head Cristiano Blanco.
“We are absolutely delighted to hear that one of our customers has managed to win the jackpot on our main Unibet brand. We at Kindred Group strive every day to deliver a safe and entertaining experience for our players across all our brands, and when one of them wins in this way, it of course makes the hard work worthwhile.”
Alongside its significant financial strides, Kindred also took a step towards creating a better, safer online gambling environment for all in the online community. The launch of its AdBlocker product two weeks ago provided customers with the ability to shield children from advertisements that might prematurely compel them towards gaming.
In a statement, Integrity Analyst Manager at Kindred Group Maris Bonello said:
“We have always been very clear that our products are only to be used by adults over the age of 18, and therefore see this tool as an important addition to our responsible gambling toolbox. This project also follows our commitment to supply a joyful form of entertainment to our customers.”
Overall, the Kindred Group and all it's thriving brands generated a full-year profit after tax amount of £117.4m, with gross winnings revenue at £751.4m. When compared to where the Group was last year and also comparing to other operators, the year 2017 was a major success for Kindred.