XL Media has significantly highlighted its progress in the US sports betting business in its annual general meeting on Thursday, 27th March 2021.
Stuart Simms, CEO of the digital performance publisher, XL Media, has informed investors that the company has made a rooted start in the current financial year. The takeover of the US sports betting business proceeds to partially offset the ongoing instability across the European Casino assets this year.
In his statement, Simms states, “The Integration of our US sports assets is progressing well and is expected to add materially to the group revenue for the current financial year and beyond. ”
“However, and as previously disclosed, we expect revenues in the casino vertical to decline further in 2021 and will continue to adjust our cost base accordingly as we further stabilize this verticle in the medium term. We expect this decline to be partially offset by the improving performance of both European Sport and North American Personal Finance.”
Projecting XL Media’s revenues of 2021, Simms Said, “Given the robust performance and the increased revenue visibility of the business so far this year, the group currently expects to deliver revenue for the full year 2021 of between $65 million and $70 million. ”
“As outlined in our 2020 full year result published in April, we continue to invest in the ongoing transformation of the business, including the system and technology that uses performance, to build an infrastructure platform which will support the anticipated growth in future years. This investment, and the additional operating costs associated with the recent acquisitions, will hold back profit progression in the current year.”
Simms commented on the outlook on this financial year, “In the medium term, the company expects to deliver year-on-year profitable revenue growth and to leverage the infrastructure investment to reduce ongoing operating cost, leading to a gradual return to the operating margin levels last experienced in 2019.”
XL Media has worked significantly on its Google deranking issue to significantly increase the revenue of the company.
XL Media has been increasingly working on its US sports betting marketplace, having acquired sports gaming affiliates CBWG Sports 2020 and other sports betting Dimes in March this year.