Rivalry Reports Record Revenue Increase and Gross Profit in Q1 2023
Published: May 24, 2023
Toronto-based sports betting, esports betting and media company Rivalry has today announced its latest financial results for the three-month period ending March 31st, 2023.
These figures include the closing of its second tranche of strategic financing.
Overall, the company is performing very well indeed, setting records for the amount of revenue generated, betting handle and gross profit.
These latest figures continue the trend established with Rivalry’s 2022 report, which showed a very positive upward swing in the company’s key performance indicators.
The Highlights of Rivalry’s Q1 2023 Business Update
Some of the most notable aspects of the figures announced today by Rivalry include:
- An increase of 199% in the site’s betting handle to CA$120.2 million over the past year and an increase of 43% from the fourth quarter of 2022.
- A 151% growth year-over-year in revenue to CA$12 million, an improvement of 27% from Q4 2022.
- Huge increase in gross profit of 698% year-over-year and 9% sequentially to CA$5.4 million.
- Registrations on the site doubling in the past 12 months, with key groups Millennials and Gen Z being 97% of active users. The site now has 1.5 million users.
- Zero debt, CA$13.1 million in cash and a company that is well capitalized and with the equity financing agreed by the company putting it in a strong and advantageous economic position.
- Net loss further reduced by 50% from CA$6.6m down to CA$3.3 million.
- All the above was achieved despite a 5% reduction in expenditure on marketing.
Co-Founder and current CEO of Rivalry, Steven Salz expressed his delight at the newly published accounts:
“Our position at the intersection of esports and entertainment continues to create operating leverage in the business and drive organic growth as seen in our most impressive quarterly results to date,” he observed.
“Rivalry’s content and brand strategy is setting the industry precedent for betting entertainment, allowing us to acquire customers profitably and engage them through authentic touchpoints without having to consistently deploy additional marketing and promotional spend for growth.
“And it is this approach that is generating breakthrough industry economics, user engagement, and charting a path to profitability for the Company that we are very bullish on.”
“Unique and Interactive Betting Experience”
Part of the success story has been the improvements made to Rivalry products and other technological innovations that have driven record user engagement over the first three months of 2023.
Through its efforts with its partners and its technological innovations across casino and sports and esports betting, the company has reached a total of 85 million followers.
This has allowed the company to distinguish itself from its main rivals, ostensibly by improving its user activity through what it calls an “original, engaging and interactive online betting experience.”
And Mr Salz confirmed that this will be a focus for the company moving forward.
“Building innovative products, which add to an overall unique and interactive betting experience on Rivalry will remain a strategic focus in 2023.
“The competitive advantage of engaging and fun products is increased user activity and satisfaction, and when combined with a profitable acquisition strategy, creates a flywheel effect in the business generating consistent organic momentum and enhancing our operational efficiency.”
If you would like to see what is on offer from the site, then check out our Rivalry review for our view of how the company compares to other casino, sports and esports betting sites.
Since: August 10, 2015
