The Company has transitioned into two core business units of focus which are Retail Wagering and Wholesale wagering, whilst reducing reliance on its Content business unit.
- Strong quarterly YoY growth of active users of 67%
- Strong quarterly YoY wagering and tournament turnover and revenue growth
- Further growth projections over the next quarter
Active Users and Revenue
The Company recorded 7,106 Active Users for the March quarter compared to 4,247 from the corresponding quarter last year.
Pleasingly, unique wagering clients increased marginally in the March 2017 quarter (to 5,546) compared to the December 2016 quarter (5,493), despite the seasonal influences which typically affect the wagering industry during the March quarter. The slight reduction in total Active Users from the December 2016 quarter was a result of the Company shifting focus away from the 12Follow Content business, (thus the Impairment of Goodwill against this business unit in the half yearly accounts for 31 December 2016) and a reduction of 21.5% in advertising and marketing spending against that spending during the previous quarter.
The Retail Wagering business unit comprises the TopBetta brand and, once acquired, the Mad Bookie brand (refer to the Announcement dated 13 April 2017) and focuses on wagering and tournament products offered directly to betting and tournament betting clients.
The Wholesale business unit will offer Global Tote odds services and wholesale tote offerings and be the exclusive global wholesale distributor of the MWS wagering platform.
Retail Wagering expecting strong growth in current quarter
The acquisition of the Mad Bookie brand and client base will enable the Retail Wagering business unit of TopBetta Holdings to accelerate quickly in the current quarter. Subject to the Mad Bookie acquisition completing, management expects the turnover for the Retail Wagering business unit to exceed $20M for the current quarter.
The estimated cash outflows for next quarter included in the Appendix 4C includes the expected associated COGS relating to the increase in turnover and revenues derived from the Retail Wagering business unit (including the Mad Bookie business).
The Global Tote
On 12 April 2017, the Company announced that the Northern Territory Racing Commission had approved a revised agreement between TopBetta Pty Ltd and the Global Tote Ltd. The approved agreement allows TopBetta Pty Ltd to offer the Global Tote Odds Service to its clients and utilise the Global Tote IP and logos.
The Global Tote is expected to go live during May.
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About Topbetta Holdings Ltd
The Company has built proprietary technology platforms that combine an online racing and sports wagering offering with a fantasy wagering platform and enables sports fans to compete against each other via online tournaments.
Topbetta Holdings Ltd