Revenue increased 218% to $111.8m for a net loss of $76,000, representing a contraction on the $12.9m net loss in the prior year period. Adjusted EBITDA losses hit $15.1m compared to $1.1m in Q120.<\/p>\n
Advertising and promotional expenses amounted to 36% of revenue at $40.5m, compared to $8.5m the prior year. Monthly active users rose 166% YoY and 20% sequentially, with average revenue per MAU of $302 during the quarter.<\/p>\n
RSI has $363m of unrestricted cash as of March 31. The company upped FY21 guidance to $440-$480m from its previous guidance of $420-$460m.<\/p>\n
More than marginal: <\/strong>The company said that while it was happy to develop sports-betting market share wherever possible, its decision to focus on casino customer acquisition had been vindicated. Casino players generate five times more margin than sports bettors, it said, and cohort data showed average NGR payback period of six months, delivering 3.5x payback returns after one year and 5.5x after three years. The numbers validated its strategy of increasing marketing spend \u201cto drive more high-quality players who are loyal and enjoy the product rather than through over-bonusing,\u201d said CEO Greg Carlin on the earnings call. In terms of regulation, Carlin added that current sports-only states were likely to regulate online casino in the future, which would benefit RSI.<\/p>\n Ill communication: <\/strong>The re-introduction of in-person registration in early April in Illinois was touched upon by Carlin in a limited fashion. \u201cWe had strong action during the suspension of in-person registration, we have a great (casino) location (in Chicago) and expect to continue being a top operator in Illinois.\u201d<\/p>\n Diversity agenda: <\/strong>Asked about the rise in active MAUs and its ARPMAU, Carlin said the group\u2019s focus on quality players and UX enabled it to maintain 30% share of online slots in Pennsylvania in Q1. Seasonality in Q2-Q3 was also a factor in online casino, but not at the same level as sports betting and in states where both verticals were regulated the growth was coming \u201cfrom new players rather than rises in ARPMAU\u201d. In Michigan Carlin said the company was \u201cvery pleased with how it had grown thanks to its casino focus.\u201d It had achieved this \u201cwithout a player database to start with and thanks to our focus on casino and strong user economics.<\/p>\n \u201cIn addition, 53% of our casino players are female, we\u2019re attracting diverse demographics and not just focusing on male audiences that play on sports betting.\u201d<\/em><\/p><\/blockquote>\n A relaunched Android app had been very well received by players, but a\u00a0 \u201cunified app offering across different states with a single wallet\u201d is not high up on the roadmap.<\/p>\n Competitive set:<\/strong> DraftKings and others have made no secret of their intention to develop their casino activities but RSI said it saw increased competition in the space as an opportunity to grow the overall market. \u201cPlayers experience RSI, they like it and stay with us. We\u2019re spending good marketing budgets, although not as much as others, and players are enjoying the experience.\u201d<\/p>\n Adopt me:<\/strong> The B2B, B2C and hybrid B2B2C models RSI operated in states like PA didn\u2019t affect acquisition or the way the platform operated, the group said.<\/p>\n \u201cAlthough margins can be impacted by the models, PA and Illinois have different structures to other market states, the way we operate the platform and attract players is the same everywhere.\u201d <\/em><\/p><\/blockquote>\n More importantly, adoption rates were accelerating and the company argued that would not be affected by the fuller reopening of land-based casino options. \u201cAdoption was very quick in Michigan, quicker than PA, which was quicker than NJ. Folk are getting comfortable playing online, people play at casinos and online, I don\u2019t think the re-openings will have an impact on online,\u201d Carlin said.<\/p>\n The top line Revenue increased 218% to $111.8m for a net loss of $76,000, representing a contraction on the $12.9m net loss in the prior year period. Adjusted EBITDA losses hit $15.1m compared to $1.1m in Q120. Advertising and promotional expenses amounted to 36% of revenue at $40.5m, compared to $8.5m the prior year. Monthly […]<\/p>\n","protected":false},"author":9,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"nf_dc_page":"","footnotes":""},"categories":[324],"tags":[758,677,744,678,759],"class_list":["post-1964","post","type-post","status-publish","format-standard","hentry","category-news","tag-angler-gaming","tag-bragg-gaming","tag-galaxy-entertainment","tag-neogames","tag-rush-street"],"_links":{"self":[{"href":"https:\/\/wagers.com\/staging\/4285\/wp-json\/wp\/v2\/posts\/1964","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/wagers.com\/staging\/4285\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/wagers.com\/staging\/4285\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/wagers.com\/staging\/4285\/wp-json\/wp\/v2\/users\/9"}],"replies":[{"embeddable":true,"href":"https:\/\/wagers.com\/staging\/4285\/wp-json\/wp\/v2\/comments?post=1964"}],"version-history":[{"count":2,"href":"https:\/\/wagers.com\/staging\/4285\/wp-json\/wp\/v2\/posts\/1964\/revisions"}],"predecessor-version":[{"id":1967,"href":"https:\/\/wagers.com\/staging\/4285\/wp-json\/wp\/v2\/posts\/1964\/revisions\/1967"}],"wp:attachment":[{"href":"https:\/\/wagers.com\/staging\/4285\/wp-json\/wp\/v2\/media?parent=1964"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/wagers.com\/staging\/4285\/wp-json\/wp\/v2\/categories?post=1964"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/wagers.com\/staging\/4285\/wp-json\/wp\/v2\/tags?post=1964"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}Checkout these newly released revenue reports today on Earnings + More:<\/h3>\n
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