Browse articles by topic

Lottery.com expects revenue to rocket in second quarter

News

Lottery broker and information portal Lottery.com expects revenue for the second quarter of its 2021 financial year to increase by up to 966.7% year-on-year.

Lottery.com said revenue for the three-month period is likely to amount to between $9.1m and $9.6m on a reported basis, both of which would be significant improvement on the $900,000 posted in Q2 of last year.

Pro forma revenue, including the recently acquired interests in Juega Lotto and Agana, is set to reach between $10.0m and $10.5m, Lottery.com said in a preliminary results posting.

During the last four quarters ended June 30 this year, sequential revenue growth averaged approximately 87% per quarter and Lottery.com said it expects to achieve similar average growth in the near term.

However, Lottery.com noted that this forecast growth does not include the interests in Juega Lotto and Aganar, which are expected to be an additional tailwind to revenue growth.

Revenue for the first half of the 2021 financial year is forecast to total between $14.6m and $15.1m on a reported basis and $16.5m and $17.0m on a pro forma basis, the latter taking into account the Juega Lotto and Aganar acquired interests.

Should this be the case, pro forma revenue would be more than 60% ahead of the full 12 months of 2020.

“Our revenue in the first half of the year is tracking ahead of our internal estimates and based on the progress we are making on several initiatives and historical growth trends, we are forecasting strong sequential growth in the second half of 2021,” Lottery.com chief executive Tony DiMatteo said.

“We continue to focus on bringing new products to market and executing agreements with new partners, affiliates and complimentary service providers to realize our vision of being a premier global marketplace for all forms of online gaming.”

Lottery.com will soon go public on the Nasdaq exchange after the business in April reached a definitive agreement for a merger with special purpose acquisition company Trident Acquisition Group.

Lottery.com owner AutoLotto and New York-listed Trident signed a binding letter of intent to acquire the broker in November 2020, with the combined group estimated to have a post-business combination enterprise value of approximately $526m.

Reflecting on the preliminary results, Trident chief executive Vadim Komissarov said: “We are pleased with the growth Lottery.com has continued to demonstrate and are optimistic about the company’s future.

“Both teams at Trident and Lottery.com are working together and sharply focused on completing our business combination as quickly as possible.”