XLMedia expects 10% rise in 2022 revenue despite faltering casino and non-core assets
Affiliate leans on strength of its sports division to drive growth as it champions US market expansion
XLMedia is expecting to post a 10.8% year-on-year (YoY) rise in full-year revenue, with the growth in the group’s sports arm abating significant decreases in its casino division.
The AIM-listed affiliate is set to record $73.3m in full-year 2022 revenue, up from the $66.5m generated in 2021.
Breaking down the revenue into sectors, XLMedia’s sports arm is anticipated to return a 72% leap in revenue from $31.4m to $54m, driven by its expansion across the US.
Market launches in New York and Maryland were cited as core drivers of the business, with the group now operational in 18 states.
Despite the growth in its sports division, revenue from XLMedia’s casino and bingo segment is set to fall by 32.8% from $23.2m in 2021 to $15.6m in 2022.
XLMedia said the decrease was due building out new tail revenue from its revenue share deals, which in turn saw old tail revenue decline even further during the year.
XLMedia pointed to a positive future for its gaming arm with the rebuilding of its sites during 2022 and stabilised total revenue from the division in H2.
Elsewhere, the group’s non-core assets, including the personal finance division, is set to see revenue plummet by 73.7% from $15.6m to just $4.1m.
Revenue from personal finance division itself is expected to drop by 78.2%, from $8.7m to $1.9m.
In December, XLMedia confirmed it was exploring the potential sale of its faltering personal finance assets as part of a business restructure.