As another fiscal year is about to come to a close, British Columbia-based FansUnite Entertainment has most recently shared an end-of-2023 corporate update. CEO of the company Scott Burton gave an update on the firm’s performance and trajectory and said despite business and macro-economic challenges in 2023, it remained resilient in its activities.
The company is an international sports entertainment and gaming one, with a focus on the regulated and lawful sports wagering affiliate market, which includes customer acquisition, retention, support and reactivation. Via its subsidiary American Affiliate, it offers omni-channel customer acquisition, covering both retail and digital customer activation for sportsbooks, casinos, poker and fantasy sports platforms.
Corporate Highlights from 2023
In response to the market challenges throughout 2023, the company introduced a comprehensive restructuring plan. It aimed to optimize operations, streamline processes, and align resources with the dynamic market landscape. The plan also led to the divestment of a series of its assets which were considered to be non-core to its future business.
Also, in February 2023, the company sold its BetPrep, which was one of its affiliate brands, to Stram Entertainment Limited which is also known as BestOdds. As part of the arrangement, BestOdds agreed to pay the company a 30% revenue share for 36 months subject to a minimum monthly guarantee, after the agreed-upon ramp-up spell, which ended on September 1, 2023.
Then in May 2023, the B.C. company sold its McMookie, a Scottish-focused sportsbook and online gambling brand in the UK for over CA$5 million in cash. The company recognized a substantial profit after initially purchasing the sportsbook brand in March 2020 for a total consideration of CA$2.2 million, which included a cash payment of around CA$1 million.
In addition to that, in the summer of 2023, the company also sold the source code of its B2B Chameleon Gaming Platform to Betr Holdings for CA$10 million in total consideration. In September 2023, it reported that it had migrated its Welsh-based UK sportsbook, DragonBet, off the Chameleon Gaming Platform. Hence finalizing its transition away from B2B platform licensing.
Earlier this year, the sports entertainment and gaming company shared its financial report for Q3 which ended on September 30, 2023. For Q3, it reported revenue of CA$4.8 million or a 12% increase from CA$4.3 million compared to Q3 in 2022. Gross profit hit CA$2.8 million or a solid 27% improvement of CA$2.2 million over the same period but in the previous year.
Closing Remarks from the CEO
Mr. Burton said that the company’s team has demonstrated adaptability and resilience which have been pivotal in driving successful restructuring and path to profitability. Ne noted that 2023 had its challenges, but the firm’s strategic decisions and dedicated team, have positioned the company on a road for a positive future as they now await to see the progress in the coming quarters.
Source: “FansUnite CEO Provides Year-End Update” FansUnite Entertainment, December 20, 2023
