NeoGames praised the positive contributions Aspire global made in its topline in 2022, after it closed a deal to purchase the games company in June.
NeoGames published its 2022 financial reports. It reported revenues of $210.2 million, 49% more than the $84.5m in 2021. This was due to the Aspire Global transaction and growing its share in NeoPollard interactive revenue.
Aspire’s 2022 revenues show that the firm earned $207m YoY but contributed $112.1m towards NeoGames’ results since the deal was closed halfway through the year.
NeoGames saw an increase in revenue and its adjusted EBITDA rose 63.2% YoY from $33.4m to $54.5m. This compares to the $33.4m it received in 2021.
The amortization of intangibles related to Aspire Global resulted in a net loss of $9m for the firm in 2022.
NeoGames is optimistic about the future of multiple verticals in sports betting, gaming and lottery.
Motimalul, Chief executive officer of NeoGames said that they are proud of the remarkable progress made in 2022, further strengthening our ilottery leadership position within a constantly expanding market. Another record quarter was added to the record year in ilottery. We also made significant strides in advancing our strategic goals.
“We acquired Aspire Global to significantly grow our business, and we have been able to propel ourselves to become a global leader providing technology and content solutions in ilottery and online sport betting.
NeoGames continued to expand its Pariplay brand including its flagship Fusion aggregation platform. Eight deals were signed by NeoGames in Q4, including a historic partnership with Betway USA.
In the meantime, BtoBet, the sportsbook brand of BtoBet, launched its online sports betting solution in Mexico with PickWin. This was done to continue its relationship with PickWin through a deal with Pariplay.
NeoGames’ Q4 revenue was $83.2m, including NPi share. This is 291% more than the Aspire deal which boosted the company’s topline. Aspire contributed $54.8m to this, which represents a 12.4% increase, while ilottery turnover increased by 33% YoY, reaching a quarterly record $28.4m.
The adjusted EBITDA for the fourth quarter was $18.1m. This is 129% more than Q421’s $7.9m. The firm had a quarterly net loss, $0.8m, but this was down from $3.6m in Q421.
NeoGames is moving forward with a bold statement move entering Brazil via Loteria Minerias (the state lottery for Minas Gerais), 2023.
Through a partnership agreement with Intralot do Brasil Neogames will offer the lottery a sports betting platform that can be used for online and retail sports betting.
NeoGames released its 2023 guidance, anticipating revenues of $235 to255m. This is a positive outlook from Aspire Global, as well as its sports betting divisions and lottery divisions.
Malul said: “Every year, the global gaming market tends to expand into the online channel. And each year, the needs of customers evolve to require an integrated approach across gaming, lottery, and sports betting.
“We believe we are well-positioned to offer our customers, both private gaming operators and regulated state lottery players, a complete suite of digital gaming solutions.
“We believe that these accomplishments, in addition to those made in 2022, will position us to reach our goals of sustainable accretive and value creation for our shareholders.”
