The fastest growing companies in egaming in Q2 2017

Every quarter the researchers of Online Gambling Quarterly examine the revenue figures of various egaming companies, ranging from operators and IT/service providers to affiliate companies and even entire markets. In most cases the figures used are net revenues; however, in a few cases net revenues were not reported, and therefore the analysts took gross revenues or turnover instead. Below the analysts look at total revenue growth and betting revenue growth.

Total revenue growth – for more data click here

The Online Gambling Quarterly analyses total revenue figures across all segments and the revenue development for each vertical.  For Q2 the researchers provide the following insights:

• On average, total revenues (all verticals) grew in Q2/2017 by +25% YoY
• Biggest growth was achieved by Net Gaming with +787%. Net Gaming is an affiliate with 95% of Q2/2017 total revenue coming from affiliate operations (this affiliate segment did not exist in Q2/2016 – therefore the exceptional increase of total revenue).
• Lowest/negative growth – At the bottom of the ranking we find Paddy Power Betfair and Mybet (see full ranking here).
• Best practice organic growth – Some of the top ranked growth companies achieved rapid growth rates through significant acquisitions. Therefore it is important to highlight companies with best practice organic growth. LeoVegas is likely one of the fastest organically growing iGaming companies – in Q2/2017 ca. 90% of its 65% revenues growth was organic. Its quarter to quarter growth was +13%.

Betting revenue growth analyses – for more data click here

The Online Gambling Quarterly also analysed the development of the betting revenues (mostly net revenues) in the recent quarter with the following insights:

• Average growth – On average, betting revenues grew in Q2/2017 (compared to a year earlier) by +9%.
• Top growth rate – Best practice growth of an operator was achieved by Kindred with +30% (YoY).
• Lowest/negative growth – At the bottom of the ranking we find Paddy Power Betfair and Mybet (see full ranking here). The new betting platform Mybet that was recently launched has not (yet) been able to stop the decrease in stakes and revenues. The negative growth of Paddy Power Betfair is mainly due to lower net revenue margins (customer-friendly sports results) and a decline in the “Dial-a-bet” business.

For more financial analyses (e.g., H1 benchmarks, casino revenue growth, …) have a look at the full report here.