Sports and esports betting company Rivalry has announced its financial results for 2021 and preliminary results for the first quarter of 2022.
Compared to 2020, the company has recorded increased revenue and an overall increase in its betting handle. However, Rivalry has detailed increased losses and operating expenses.
The betting company has recorded CAD $11.1m (£6.92m) of revenue in 2021, which is up from CAD $1.5m (£1.5m) from the same time period in the previous year. Rivalry’s betting handle, which is the money waged by bettors on the platform, also grew to CAD $78.2m (£48.7m), compared to CAD $25.9m (£16.16m) the year before.
Nevertheless, Rivalry also recorded losses of CAD $24.7m (£15.4m), which is a significant increase compared to the CAD $6.9m (£4.3m) a year prior. Interestingly, Rivalry revealed that it had no debt at the end of 2021, and also boasted CAD 35.5m (£22.1m) in cash at the end of the year.
Steven Salz, Co-founder and CEO of Rivalry, commented: “We had a tremendous year by nearly all measures in 2021. Our team delivered triple-digit growth, secured the financial resources to accelerate our momentum, continued to strengthen our originally developed product, added significant talent depth to our bench, and further solidified Rivalry as the most engaged brand in esports betting globally.”
Despite Rivalry supporting traditional sports, the company shared that almost 90 per cent of all betting on the platform was made on esports. Customer registrations increased from 350,000 in late 2020 to 610,000 at the end of 2021.
Esports Insider says: Rivalry grew its revenue immensely in 2021, and seems on track to do the same in 2022. The company has accumulated a sizeable loss, but the increase in registrations and users shows that scaling is not a big challenge for Rivalry. It’s also good to see that a company has no debt, which is something that shareholders will enjoy.