In a remarkable demonstration of exceeding financial targets, the Copenhagen-headquartered Better Collective, a leading sports betting media group, has reportedly surpassed its revenue projections for the fiscal year ended December 31, 2023. The organization announced that its revenue is expected to land at a robust €327 million (£279 million/$353 million), topping its own forecast range of €315 million to €325 million.
The financial success does not stop at revenue, as EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) is anticipated to reach €111 million for 2023, aligning with the higher end of the group’s previously articulated target bracket of €105 million to €115 million.
Furthermore, financial leverage remains healthy with the group indicating that net debt to EBITDA before special items will sit comfortably below a ratio of 2.0, consistent with prior guidance. These promising figures present a picture of a company not only achieving but surpassing its financial goals.
This fortuitous upswing in revenue comes as a result of two upward revisions of the guidance within the same year, signaling a robust and continuously improving operational performance. Better Collective’s journey through 2023 began with a modest revenue guidance of €290 million to €300 million. However, a combination of strategic maneuvers including accretive acquisitions led to this initial estimate being revised upwards – first to €305 million to €315 million and later, in June, to the final range of €315 million to €325 million. A similar positive trend was observed in EBITDA guidance, which progressively improved from an initial estimate of €90 million to €100 million and concluded at the year-end figure.
Throughout 2023, Better Collective’s market strength was enhanced through incisive mergers and acquisitions (M&A). These included a significant transaction in April with the procurement of advertising enterprise Skycon Limited, which was sealed for up to £45 million. Other noteworthy additions to the Better Collective portfolio were the acquisition of Danish media outlet Tipsbladet.dk, Brazil’s sports media platform Torcedores.com, along with a host of Swedish brands such as SvenskaFans.com, HockeySverige.se, Fotbolldirekt.se, and InnebandyMagazinet.se.
Further fortifying its expansion, July 2023 saw Better Collective acquire Playmaker HQ for $54 million. Renowned for creating original sports and entertainment content, this positioned the group advantageously in the content creation arena. Moreover, the company elegantly capped its acquisition spree by finalizing the buyout of Playmaker Capital, a Toronto-based digital sports media business, with the agreement valued at €176 million—a formidable enterprise that was penned in November last year.
With an established pattern of tactical acquisitions and consistent financial performance, stakeholders and market watchers alike maintain keen anticipation for Better Collective’s Q4 and full-year financial report, set to be officially unveiled on February 21.
These strategic maneuvers throughout the year position Better Collective as a formidable player in the digital sports media and betting sector, with its well-executed M&A strategy facilitating rapid expansion while maintaining profitability. The results not only reflect the company’s operational prowess but also its ability to strategically navigate and integrate new markets and technologies into its business model, effectively leveraging them for financial success and sustained growth. The upcoming comprehensive report on their fiscal year may offer further insights into the company’s trajectory and strategic direction for the years ahead.
