Zona de Azar Denmark – Better Collective Surpasses 2023 Revenue Goals and Targets Double-Digit Growth

Denmark.- 22th February 2023 www.zonadeazar.com Better Collective has announced stellar results for 2023, reporting a revenue of €327 million (£280.2 million/$353.7 million), exceeding its set target. The affiliate group, having achieved a remarkable 21% year-on-year increase in revenue, is now setting its sights on double-digit growth, building on its impressive 52% growth recorded in the previous year.

The exceeded target of €315 million-€325 million, as revealed in its 2022 earnings, highlights Better Collective’s robust performance. Recurring revenue saw a substantial uptick to €189 million, representing a remarkable 47% increase.

EBITDA before special items also showcased a commendable rise, reaching €111 million—a 31% increase, aligning with the upper end of the €105 million-€115 million objective. The EBITDA margin stood at a solid 34%, in line with the group’s targeted range of 30%-40%, outlined in its 2022 report.

Jesper Søgaard, Founder and CEO of Better Collective, expressed his satisfaction, stating, “In 2023, a great team effort across the group secured a prosperous year marked by profitable growth, all while continuing our strategic investments to lay the foundation for the future.”

He added, “2023 stands out as a year where we made significant progress towards our vision of becoming the leading digital sports media group.”

Q4 2023 Highlights:
In the fourth quarter of 2023, Better Collective achieved €85 million in revenue, meeting its 2023 revenue target. Recurring revenue for Q4 increased by 15%, reaching €47 million and indicating a focus on “higher quality revenue.”

Although the group’s Q4 2023 revenue was €1 million less than that generated in the same period of 2022, with organic revenue growth of -7%, EBITDA before special items remained strong at €30 million. While this represented a 16% decrease compared to 2022, the EBITDA margin finished at 35%, within the upper range of the 2023 target.

Better Collective attributed the dip in EBITDA before special items to the ongoing transition to revenue share in the US.

Outlook and Targets for 2024:
Buoyed by its robust performance in 2023, Better Collective has raised its financial targets for 2024. The group aims to achieve revenue in the range of €390 million-€420 million, implying a growth rate of 19%-29%.

In addition, Better Collective is eyeing EBITDA growth of 13%-22%, targeting €125 million-€135 million, while also aiming to maintain net debt to EBITDA below 3x.

The recent acquisition of Playmaker Capital for €176 million is expected to enhance Better Collective’s North American position and establish “market leadership” in South America. The group anticipates the acquisition to have a flat impact on revenue and earnings for 2024, with a gradual ramp-up over time.

With the addition of BLS Capital Fondsmæglerselskab A/S as a new major shareholder and Better Collective’s inclusion on Nasdaq Stockholm and Nasdaq Copenhagen, the group remains poised for continued growth and success in the evolving landscape of the affiliate industry.

Edited by: @MaiaDigital www.zonadeazar.com