EveryMatrix defied the impact of regulatory changes in Germany as it reported double-digit growth in revenue and gross profits during Q2 of 2022.
The B2B igaming technology provider said its financial performance for the three months to 30 June was ahead of expectations thanks to a strong global sales performance, good cash balance and the successful completion of its biggest-ever acquisition – the purchase of Croatian sports betting software provider Leapbit.
In what was a successful start to 2022, EveryMatrix reached 90% of total 2021 deal value from new clients within the first six months of the current year.
The group secured a record 43 new client wins across all products in Q2 2022, including four new top-tier clients – 888casino and BetMGM in the US, the National Lottery of Malta and a leading operator in Italy. Two key clients in regulated markets, Germany and Romania, went live with CasinoEngine, while 54 new brands went live with SlotMatrix.
The balance sheet saw €30.1m of revenue added, which was up 41% year-on-year compared to Q2 2021. That lift came despite regulatory changes in Germany, one of its major markets, which began to negatively impact EveryMatrix following the implementation of the Fourth Interstate Gambling Treaty from Q3 2022.
Gross profit increased by 17% year-on-year to €14.9m, with a four-year compund annual growth rate of 35%. While the regulatory changes in Germany impacted gross profit in casino, that segment still grew by 11% thanks to the group’s product diversification and broad client base.
Gross profit from the rest of world increased by 36% year-on-year and by 87% between Q2 2020 and Q2 2022.
Gross profit from EveryMatrix’s sports segment for Q2 2022 was up 30% compared with the same period last year. However, heavy promotions from its top client led to a drop in gross profit from the previous quarter.
Gross profit from its platform segment was up slightly on the previous quarter and increased 16% compared to Q2 2021 to €3.8m.
Ebbe Groes, group chief executive of EveryMatrix, said: “Driven by our diverse product offering and strong client base, we saw yet another record number of new client wins in the quarter with 43 deals signed across all products. Furthermore, a 17% increase in gross profit, the best reflection of the underlying performance of the group, allows us to continue to invest in our future growth.”
EveryMatrix completed the acquisition of Leapbit for an undisclosed sum in May 2022, at the time saying the acquisition would strengthen its online-first OddsMatrix sports betting product with an advanced retail offering.
Founded in 2018, Leapbit is a B2B sports betting supplier, employing a core team that was previously with Romanian bookmaker Superbet. EveryMatrix said in May that OddsMatrix will integrate Leapbit’s retail-focused software solution and other products such as virtual horse racing and lottery games.