International sportsbook and media company Rivalry expects to close 2022 in a strong position, anticipating a record Q3 betting handle.
In a preliminary update, the group revealed it anticipates revenue to jump quarterly by 35% from $3.7 m to $7.1m, and year-on-year by 94% from $3.7m.
Revenue expectations have been fueled by projected betting turnover of CAN $70.3m in Q3, an ‘all-time high’ for the Canada-based firm – a year-on-year growth rate of 203% from 2021 ($23.2m) and sequential increase of 83% (Q2: $38.4m).
“The significant year-over-year and sequential growth we delivered is a testament to our market leadership in next generation sports betting and casino,” said Steven Salz, Co-Founder and CEO of Rivalry.
“Our customer base demonstrates our ability to engage a highly sought-after audience of Gen Z and Millennials in global markets, and further validates our overarching player acquisition and brand strategy.”
A sharp rise in esports betting has also played a key role in Rivalry’s Q3 expectations, with over 90% of the company’s sportsbook handle generated by this sector during Q3.
Additionally, the group predicts further momentum due to a young demographic customer base, as 82% of its active users are under the age of 30 years old.
The firm expects this factor to contribute to successful leveraging of brand equity, consumer engagement and original casino IP development, with an objective to ‘extend its leadership position as the betting destination for the next generation’.
“We are very well positioned for a strong finish to 2022 and continued momentum into next year,” Salz continued.
“We expect to benefit from a number of near-term catalysts, including several major esports events, a growing presence in traditional sports betting, the launch of a mobile app, and the ongoing introduction of new casino games, media content, and influencer partnerships.”
Located in Toronto, Rivalry made its market debut in Ontario, the country’s largest province and betting sector, but has since turned its attention further afield.
Notably, the group secured entry into its second active market in May, gaining a licence from the Northern Territory Racing Commission (NTRC) to establish a presence in Australia.
The group plans to publish its full results for Q3 2022 towards the end of November.