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Shares in Better Collective have gained more than 6% in early morning trading after the affiliate giant upgraded its organic revenue growth projection for 2022 to 34%.

The firm had previously targeted an annual growth rate between 20% and 30%.

Q4 revenue came in at €86.1m, giving a growth rate of 63% year-on-year, of which 44% was organic.

In the US, Better Collective reported Q4 revenue of €33.9m, up 71% year-on-year.

The company also reported Q4 EBITDA before special items of €35.2m, an increase of 115%, at a margin of 41%.

Better Collective attributed the growth to a “strong and broadly based performance” combined with an extraordinarily well performing World Cup, alongside a solid launch of regulated sports betting in the US state of Maryland.

Full year results

For the full year 2022, Better Collective reported revenue of €269.3m, up 52% year-on-year, with 34% organic growth.

The company’s US revenue for the year was $100.3m, up 102% year-on-year.

Better Collective also reported EBITDA before special items of €85.1m, an increase of 53% compared to 2021, at a margin of 32%.

Shift to revenue share model

Better Collective revealed that when releasing its original 2022 financial targets, it assumed that US revenue would consist only of upfront payments on a cost-per-acquisition (CPA) basis.

However during Q4, the company continued a push towards a revenue share model in the US market and has seen a full year impact of €14.7m, which is up from €10m as guided in Q3.

The company stressed that it met its EBITDA guidance despite absorbing a larger than expected shift towards future revenue share income.

Better Collective remains positive about this shift from one-time payments to recurring revenue, as it points to future growth and better long-term sportsbook partnerships.

Catena Media shareholding

Last week, Better Collective acquired a position of more than 5% in rival affiliate business Catena Media.

The company said it is “satisfied with the position” and declined to comment further, leaving the industry in a state of speculation.

Both companies have gained recognition as “super affiliates” in the iGaming industry, having acquired several other affiliates and established a strong presence in the rapidly growing US online market.

In January, Catena Media confirmed that third parties had shown interest in acquiring the entire company, following the sale of its AskGamblers website to Gaming Innovation Group for €45m.

Better Collective’s portfolio includes Action Network, VegasInsider.com, HLTV.org, FUTBIN. com, and bettingexpert.com.

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