Better Collective announced its Q2 results, highlighting the rise of its operating revenues to 27%.
Better Collective, a digital sports media group founded in 2004, operates a strong portfolio of national and global sports media brands. Talking about its Q2 results, the group marked its €99m reach against the 78€ it had in 2023.
CEO and Co-Founder Jesper Søgaard commented on Q2 results:
“Our existing business is back to organic growth despite the exceptionally good performance during the first half of 2023. On the back of that, we have delivered a considerable increase in recurring revenue stemming from both organic and acquired growth, while continuing our North American transition to revenue share.”
EBITDA results
Better Collective’s year-to-date EBITDA is €57m, €5m less than last year, but the company expects a stronger second half with better-paid partnerships and US growth. Costs have risen to €137m due to acquisitions, but they’re sticking to their revenue target of €395-425m and an EBITDA of €125-135m.
Søgaard commented on EBITDA results:
“As it stands now, the net financial group impact has been fully mitigated. We managed to deliver on our forecasts for revenue, EBITDA, and NDCs, even before these changes took place. Hence, we remain on track to deliver on our financial targets, and our robust diversified strategy equips us to navigate through changing industry landscapes while remaining focused on sustainable profitable growth.”
The company’s focus on moving its media assets to revenue-sharing contracts and recent acquisitions has paid off, especially in Europe and the Rest of the World, where Q2 revenues jumped to €73m, with profits reaching €26m.
Despite a 14% revenue boost in its Paid Media unit, profits in the US dropped to €1.9m as the company transitioned to revenue-sharing deals. The publishing segment also saw a 5% dip in profits, even though revenues increased by 33%, mainly due to a tighter profit margin and stiff competition in the US. Better Collective expects improved profits in the second half of the year as these changes take hold.
FAQs
What is Better Collective, and what do they do?
Better Collective is an iGaming media group listed in Stockholm and Copenhagen.
Why did Better Collective’s EBITDA decrease despite revenue growth?
Better Collective’s EBITDA is €5 million less than last year, primarily due to increased costs of €137 million.
How is Better Collective managing competition and market challenges in the US?
Better Collective is navigating these challenges by transitioning to revenue-sharing contracts and focussing on sustainable, profitable growth.
