Raketech reports record revenue in Q2 amid booming sub-affiliation business
It also represents substantial organic growth of 56% year-on-year, compared to a 4% decline in the same period of the previous year.
Revenue from affiliate marketing reached €10.3m, up 28%, making it Raketech’s largest business area, accounting for 59% of total revenue.
A significant part of this growth momentum stems from Casumba, the affiliate business focused on the Japanese market that Raketech acquired in 2019.
Sub-affiliation generated €6.3m and accounted for 35.8% of the total revenue, up from 19.1% in Q2 2022.
Raketech CEO Oskar Mühlbach said the sub-affiliation business area, providing SaaS solutions and club commercials to affiliates, “had an exceptionally strong quarter, driven by favourable market development, with Latin America and the Nordics leading the way.”
However, it wasn’t all sunny skies for Raketech, as the company saw its revenue from the betting tips and subscriptions segment drop by 6% year-on-year. Raketech attributed the decrease partially to currency fluctuations.
The company’s EBITDA showed a promising surge, growing by 45% year-on-year to reach €5.5m during the quarter.
H1 results and outlook
In H1, revenue totalled €33.4m, up 39.2% from H1 2022. That growth was all considered organic, and new depositing customers (NDCs) increased by 62.7%.
Reported EBITDA increased to €11.6m, up from €8.9m in the prior year period, at a margin of 34.7%.
Shifting focus to subsequent events, Raketech started July 2023 on a high note, with revenues touching €6.9m, a considerable jump from €3.9m the previous year.
The company’s optimism about its future prospects remains intact, with an upgraded full-year guidance for 2023 indicating expected revenue to fall between €65m and €70m.
EBITDA is projected to come in between €23m and €25m, and free cash flow is anticipated to climb to between €13m and €15m.