BetMakers revenue quadruples in FY22 ahead of News Corp launch – Finance
BetMakers reported revenue of A$91.6m (£52.7m/€62.6m/$63.5m) in the financial year ended June 30 , up 368.1% year-on-year, while spending heavily preparing for the launch of a media betting product. giant News Corp.
During the year, the operator prepared for a number of key launches, the most notable being providing its technology to media giant News Corp Australia’s new betting business.
The deal, which was finalized in April, will see BetMakers subsidiary OM Apps deploy B2B technology and betting on NTD Pty, which involves News Corp and Tekkorp Capital.
This agreement follows notable launches in the United States recently. Earlier this year, BetMakers extended its partnership with Monmouth Park in New Jersey and the New Jersey Thoroughbred Horsemen’s Association ahead of the launch of fixed odds betting in the state.
Customer collections were A$93.4 million for the year, up 325%.
Personnel costs, including outsourcing and recruiting costs, were the highest expense of the year at $48.6 million.
The manufacturing and operating costs of the products have been 26.6 million Australian dollars, A$1.4 million, including A$1.4 million related to the rollout of fixed odds betting in New Jersey.
Administrative and business expenses amounted to A$15.9 million. The rest A$4.6 million was made up of income tax paid, advertising and marketing costs, leased asset costs and other costs.
This left the company with an operating loss of 1.6 million Australian dollars.
The company also revealed that it had spent A$15.0 million on investing activities related to the launch of News Corp.
Cash and cash equivalents at the beginning of the quarter were A$107.7 million. After spending $21.0 million in investing activities and with small gains from operating activities and exchange rate fluctuations, total cash equivalents at the end of the period were 87.5 million Australian dollars.