Raketech maintains 2022 outlook overcoming mounting Euro headwinds
Raketech Plc has reported ‘solid results’ as its affiliate network continues to grow despite facing challenging conditions across Western European markets.
Publishing its Interim H1 trading statement, the firm posted year-to-date revenues of €24m, up 40% on corresponding 2021 results of €17m.
Headline growth was maintained, despite Raketech registering a tougher than anticipated Q2 performance in which its affiliate network generated revenues of €11.2m (Q2 2021: €8.7m).
Period trading accounted for a drag on organic revenues generated by Raketech due to marketing restrictions in Finland and the firm suspending its network sales in Germany and the Netherlands.
A breakdown of Q2 geographic performance saw the firm maintain stable Nordic revenues at €5.3m, despite its Finnish market headwinds.
Raketech lauded the performance of its Rest-of-World assets (excluding US) that doubled Q2 revenues to €4m, helping offset a 40% Western European revenue decline to €680,000 (Q2 2021: €1.2m).
Meanwhile, despite entering a ‘seasonal low period’, Raketech’s new US portfolio generated profits of €1.3m above expectations.
H1 KPIs saw its network generate 69,000 new depositing customers below covid-influenced 2021 results of 74,000 NDCs.
Reported Q2 EBITDA amounted to €4m (Q2 2021: €3.4m), corresponding to a margin of 35%, as Raketech tracked YTD operating profits of €5.1m (Q2 2021: €3.1m).
The company enters H2 with confidence, reporting that online assets have responded positively to core Google updates.
Meanwhile leadership continues to prioritise the tech development of its Affiliation Cloud system and further investment to support its US growth ambitions.
Group CEO Oskar Mühlbach commented: “I am very happy to see that our diversification strategy and strong operational delivery focus is paying off.
“Raketech is in a position where we are not immune perhaps, but very resilient against sudden changes in the world around us. And not only are we resilient but also well positioned for growth with regards to products, markets, and different revenue stream on the ever-changing and growing global igaming industry.
“The second half of the year is typically stronger than the first half. And with our core products portfolio performing well, the American football season coming to a start and the FIFA World Cup to look forward to in November and December, we reiterate our full-year aim of being within the interval of EUR 50-55m in revenues with an EBITDA margin within 40-44%.”