Esports wagering products and technology provider Esports Technologies announced on Wednesday a revenue of approximately $7.1 million for the first quarter of fiscal 2022, ended December 31, 2021. The company is now reaffirming its guidance of $70 million of revenue for the remaining fiscal year.
For the quarter, the esports betting business delivered a gross profit of nearly $2.5 million, “with substantially all of it coming in the month of December,” according to a press release.
During the period, the business increased its cash position to $11.8 million, up from $2.8 million from the previous fiscal year-end. The company’s reaffirmed guidance for the remainder of the fiscal year 2022 will include 10 months of reporting since the acquisition of Aspire’s portfolio of B2C proprietary casino and sportsbook brands Karamba, Hopa, Griffon Casino, BetTarget, Dansk777, and GenerationVIP.
"This quarter, we have made a big step towards our vision to be the leader in esports wagering. The boost in revenue from our newly acquired brands is a great indication of future growth," commented Aaron Speach, Chief Executive Officer of Esports Technologies. "With this business, and our other avenues for growth, we are strongly positioned to capitalize on the heightened popularity and interest in esports."
The company took during the last months “significant strides” in achieving its vision of being the leader in esports wagering and technology, having gained 1.25 million deposited customers from the acquisitions.
The deal resulted in access to Tier 1 regulated markets, including the UK, Germany, Denmark, and Ireland. This is expected to provide the company the ability to continue to grow the number and size of wagers across all of its brands.
“Our future esports products will have an audience of over 200 million people in the European markets,” Speach said in a call with investors. “Our acquisition integration is going better than anticipated. The performance of the assets are on target and our key acquisition integration goals are going extremely well.”
During Q1, the company also invested in the expansion to additional markets for its casino, sportsbook, and esports offerings, including Asia, Latin America, and Europe. Esports Technologies also consolidated all of its brands onto a single platform in order to enhance efficiency as it launches in new markets.
Following the financial update, the company reaffirmed plans to keep investing in new esports products and intellectual property, including the continued development of its odds-modeling technology to provide improved odds and more betting options to players. Additionally, Esports Technologies will continue to invest in its patent-pending browser extension to allow live wagering “within any streaming environment.”
In conversation with investors, Speach reaffirmed the company’s intentions to launch both its Browser Bets extension and its Esports Book product, a regulated sports betting product with a focus on esports throughout Europe and other regulated markets, in Q2 of the calendar year. Both offerings are “on track” to launch in calendar 2022.