Toronto-listed iGaming company FansUnite reported positive EBITDA of C$4.3m in Q2 2023, compared to a C$11.1m EBITDA loss in the prior-year comparative period.

Reporting its Q2 financial results, the company revealed that it generated revenue of C$5.3m during the quarter, an increase of 13.7% year-on-year.

The cost of revenue was reported at C$2m, down from C$2.8m, giving the business a gross margin of C$3.3m, up from C$1.9m in Q2 2022.

Still, the business reported a total comprehensive loss for the quarter of C$1.3m, although that represents a significant closing of the gap towards profitability compared to the C$11.6m comprehensive loss it reported in Q2 2022.

“Following the sale of McBookie and the Chameleon iGaming Platform, we will focus more on growing business segments that produce significant cash flow.”

– FansUnite CEO Scott Burton

The C$5.5m sale of FansUnite’s B2C McBookie brand in May generated a gain of C$4.4m for the business, it said, while the C$10m sale of its Chameleon gaming platform to Betr generated a gain on sale of C$3.1m.

“We are excited to announce a significant increase in revenue and gross margins during the second quarter of fiscal 2023,” said FansUnite CEO Scott Burton.

“During the quarter, we saw a 14% increase in revenues year-over-year while our overall gross margins exceeded 60% due to our focus on higher margin operations. This renewed focus allowed us to record an EBITDA of C$4.3m during the quarter which was up from a loss of C$11.1m during the same quarter last year.

“Following the sale of McBookie and the Chameleon iGaming Platform, we will focus more on growing business segments that produce significant cash flow. 

“We intend to achieve this goal by scaling our affiliate business segment, led by Betting Hero, which has generated substantial revenue and high gross margins as well as identifying more opportunities to improve our operational and financial efficiency.”

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