This represented 7.8% of Endeavor’s overall revenue for the year, which was $5.96bn.
The year saw Endeavor make a number of moves relating to sports data and tech, spurred on by Endeavor’s acquisition of OpenBet in September 2022 for $800m. In June 2023, OpenBet acquired responsible gambling and AML specialist Neccton. September also saw OpenBet appoint Sam Depoortere to the role of vice president of platform products.
Last month, Endeavor announced that it was to integrate OpenBet and IMG Arena – which it also owns – under the OpenBet banner.
Ariel Emanuel, CEO of Endeavor highlighted the performance of its sports segment amongst Endeavor’s overall results.
“2023 was a transformational year for Endeavor as we strengthened our positions in sports and entertainment through many of our industry-leading assets,” said Emanuel. “We remain focused on maximising shareholder value through quarterly dividend payments and our evaluation of strategic alternatives.”
Light & Wonder’s FY23 results – released yesterday – noted that its sale of OpenBet allowed it to re-focus to other business areas.
Segment performance in Q4 and FY23
Speaking on Endeavor’s full-year 2023 earnings call, Jordan Lublin, chief finance officer, attributed the sports data and technology segment’s performance to OpenBet’s performance in its first year with Endeavor.
Lublin also acknowledged growth within IMG Arena’s betting data and streaming products as a catalyst for growth. IMG Arena acquired Leap Gaming in April and won exclusive media rights to 85 of the Confederation of African Football’s territories in December.
Adjusted EBITDA for the year totalled at $62.7m, up 31.1% year-on-year. This represented 5.1% of Endeavor’s total Adjusted EBITDA for the year, which was $1.21bn.
Looking at the fourth quarter performance, the sports data and technology segment generated $113.5m in revenue. This was up by 4.7% yearly. Adjusted EBITDA for the quarter was $20.5m, down slightly from $21.6m in Q4 2022.
Also on Endeavor’s earnings call, Emanuel said that OpenBet and IMG Arena “secured notable wins” throughout the fourth quarter. He named OpenBet’s agreement to power Veikkaus’ sports betting platform as a highlight.
“Finland stands out as a key growth opportunity in the European sports betting landscape,” Emanuel noted. He added that this builds on to OpenBet’s prior 2023 geographic growth – “Greece, Germany, Czech Republic and Canada with Australia and Brazil in focus for 2024.”
Original article: https://igamingbusiness.com/finance/endeavor-full-year-results/
