Gambling.com Group looks to US after positive Q1
Published 22nd May 2019
Gambling.com Group has reported a 52% year-on-year increase in revenue for the first quarter of 2019, with the affiliate marketing giant to invest in the development of products for the US market in the year ahead.
Total revenue for the three months to March 31, 2019 grew to a record €5.2m ($5.9m), with organic growth accounting for around 50% of this total, or 98% of the year-on-year increase.
The vast majority (83%) of this sum came from locally regulated markets, Gambling.com Group noted, with new depositing customer (NDC) numbers up 66% to 26,525.
This growth came despite the affiliate admitting that it had been hit by the introduction of new gambling regulations in Sweden, its second largest market after the UK, from January 1, 2019. Gambling.com said regulation had provided long-term legal certainty in the market, and NDC production remained strong in Q1.
However, it noted, NDC values had decreased and Swedish revenue had fluctuated as its operator partners familiarised themselves with the new regulatory framework. Despite this, it said that it expects the market to stabilise and grow in coming quarters.
Looking ahead, Gambling.com Group chief executive Charles Gillespie highlighted the opportunities presented by the roll-out of sports betting and igaming legislation across the US. The group will soon be able to strike revenue share deals with partners in the New Jersey market, having been cleared to apply for an Ancillary Casino Service Industry Enterprise License by the state’s Division of Gaming Enforcement.
It has also applied for a licence in Pennsylvania, where it believes online sports betting could launch before the end of May, and ahead of the state’s igaming market opening on July 15.
“Substantial progress has been made in the past weeks toward opening up additional US States for legal, online sports betting,” Gillespie added.
“As of the time of writing, 15 states plus Washington DC either have legal sports betting today or have passed laws to launch it. 26 more states have introduced sports betting bills, 15 states of which still have their 2019 legislative sessions open.
“Only nine states have now failed to make any effort on sports betting in 2019.”