Five reasons to invest in the Kindred share
Thanks to the accelerating shift from offline to online, Gross winnings revenue within the non-cyclical global online gambling market is estimated to show a compound annual growth rate (CAGR) of 11.0 per cent between 2022 and 2027. The global online gambling market is estimated at GBP 77.7 billion in 2022, corresponding to 28.6 per cent of the total global gambling market (estimated at GBP 271.3 billion).
With annual revenues of GBP 1.1 billion and 33.9 million registered customers, Kindred is a leading online gambling operator. Our revenue is diversified from a brand, product and geographical perspective, with technology as a common denominator. This underpins stability and enables scalability.
Kindred has a strong record of revenue growth and operational efficiency. Through our tech-first approach and scalable platform, we provide our customers with a unique experience throughout long-lasting relationships. A key building block for the long-term value creation is the Kindred Sportsbook Platform. It will further increase our scalability, agility, security of supply and ability to differentiate. With our strong brands, attractive products and solid expertise we continue to grow our customer base and gain market share in our rapidly growing total addressable market across Europe, Australia and North America.
Kindred’s purpose is to transform gambling by being a trusted source of entertainment that contributes positively to society. One of our priority areas is responsible gambling, and through our approach we aim to generate no revenue from high-risk customers. Our efforts provide long-term profit support, reduce volatility and uncertainty, and strengthen our ability to attract and retain the best talent.
Kindred has a track record of strong profitability and cash flow generation. The solid balance sheet and cash flow generation allow for continued investments in both organic growth and selective acquisitions. Our most recent acquisition of the rapidly growing B2B supplier, Relax Gaming, will significantly contribute to the future profitability of the Group. The total pay-out ratio of dividends and share purchases should be ~75-100 per cent over time of free cash flow.