In the dynamic world of iGaming, where innovation and adaptability are key, FansUnite Entertainment Inc. (TSX: FANS) (OTCQB: FUNFF) is emerging as a formidable player with a vision to reshape the industry. Whether you’re a seasoned investor or just dipping your toes into the world of stocks, here’s why FansUnite should be on your radar.
Streamlining Operations for Enhanced Efficiency
One of FansUnite’s strategic moves to boost its financial efficiency was the migration of DragonBet, a UK sportsbook, from the Chameleon Gaming platform. This migration marks a significant shift away from business-to-business (B2B) platform licensing for FansUnite.
By completing this transition, the company anticipates annualized cost savings of approximately $7.1 million, a testament to its commitment to financial prudence. These savings encompass reductions in salaries and selling, general, and administrative costs, which will translate into positive cash flow by Q4 2023. With this strategic pivot, FansUnite is poised to capitalize on the lucrative affiliate segment, a consistent revenue generator, contributing $23.0 million out of $27.3 million in revenue during Fiscal 2022.
A Farewell and a Welcome
As part of its strategic realignment, FansUnite bid farewell to Jeremy Hutchings, the Chief Technology Officer, who played a pivotal role in the company’s early days. His decision to step down on September 30, 2023, aligns with the company’s focus on the more profitable affiliate segment. Jeremy will continue to support FansUnite as a consultant, offering insights into the monetization of the Chameleon Gaming Platform’s source code.
FansUnite’s financial results for the second quarter of 2023 are a testament to its upward trajectory. The company reported total revenue of $5.3 million, reflecting a 14% increase over the same period in Fiscal 2022. Notably, gross margins soared to $3.3 million (62%), marking a 70% increase compared to Q2 Fiscal 2022.
A significant milestone was the EBITDA of $4.3 million, a remarkable turnaround from the previous year’s loss of ($11.1) million during the same quarter. Unrestricted cash also saw an uptick, reaching $3.5 million as of June 30, 2023, compared to $2.9 million at the end of 2022.
Strategic Direction: Scaling the Profitable Affiliate Segment
FansUnite’s strategic shift is centered on amplifying its affiliate segment’s profitability. Betting Hero, a key asset in this segment, has consistently produced substantial revenue and boasts high gross margins. The company aims to further capitalize on Betting Hero’s success by expanding its revenue streams, including Betting Hero Hotline and Betting Hero Research.
Additionally, FansUnite plans to explore new North American markets once legislation is in place to regulate sports betting and iGaming. These strategic moves are set to propel the company into higher realms of profitability while maintaining a firm focus on operational and financial efficiency.
FansUnite’s journey in the iGaming universe is marked by resilience, adaptability, and an unrelenting commitment to excellence. With strategic realignment, solid financial growth, and a relentless focus on the profitable affiliate segment, FansUnite is well-positioned to revolutionize the iGaming landscape.
So, whether you’re a seasoned investor or a newcomer, consider joining the FansUnite revolution
YOUR NEXT STEPS
Visit $FANS HUB On AGORACOM: https://agoracom.com/ir/FansUniteEntertainment
Visit $FANS 5 Minute Research Profile On AGORACOM: https://agoracom.com/ir/FansUniteEntertainment/profile
Visit $FANS Official Verified Discussion Forum On AGORACOM:
https://www.youtube.com/watch?v=r8Gn9bOSZGo&list=PLfL457LW0vdKHbqPgzVHX324FdcVNjfBF
Watch $FANS Videos On AGORACOM YouTube Channel:
DISCLAIMER AND DISCLOSURE
This record is published on behalf of the featured company or companies mentioned (Collectively “Clients”), which are paid clients of Agora Internet Relations Corp or AGORACOM Investor Relations Corp. (Collectively “AGORACOM”)
AGORACOM.com is a platform. AGORACOM is an online marketing agency that is compensated by public companies to provide online marketing, branding and awareness through Advertising in the form of content on AGORACOM.com, its related websites (smallcapepicenter.com; smallcappodcast.com; smallcapagora.com) and all of their social media sites (Collectively “AGORACOM Network”) . As such please assume any of the companies mentioned above have paid for the creation, publication and dissemination of this article / post.
You understand that AGORACOM receives either monetary or securities compensation for our services, including creating, publishing and distributing content on behalf of Clients, which includes but is not limited to articles, press releases, videos, interview transcripts, industry bulletins, reports, GIFs, JPEGs, (Collectively “Records”) and other records by or on behalf of clients. Although AGORACOM compensation is not tied to the sale or appreciation of any securities, we stand to benefit from any volume or stock appreciation of our Clients. In exchange for publishing services rendered by AGORACOM on behalf of Clients, AGORACOM receives annual cash and/or securities compensation of typically up to $125,000.
Facts relied upon by AGORACOM are generally provided by clients or gathered by AGORACOM from other public sources including press releases, SEDAR and/or EDGAR filings, website, powerpoint presentations. These facts may be in error and if so, Records created by AGORACOM may be materially different. In our video interviews or video content, opinions are those of our guests or interviewees and do not necessarily reflect the opinion of AGORACOM.
From time to time, reference may be made in our marketing materials to prior Records we have published. These references may be selective, may reference only a portion of an article or recommendation, and are likely not to be current. As markets change continuously, previously published information and data may not be current and should not be relied upon.
NO INVESTMENT ADVICE
This record, and any record we publish by or on behalf of our clients, should not be construed as an offer or solicitation to buy or sell products or securities.
You understand and agree that no content in this record or published by AGORACOM constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is suitable or advisable for any specific person and that no such content is tailored to any specific person’s needs. We will never advise you personally concerning the nature, potential, advisability, value or suitability of any particular security, portfolio of securities, transaction, investment strategy, or other matter.
Neither the writer of this record nor AGORACOM is an investment advisor. Both are neither licensed to provide nor are making any buy or sell recommendations. For more information about this or any other company, please review their public documents to conduct your own due diligence.
If you have any questions, please direct them to [email protected]
For our full website disclaimer, please visit https://agoracom.com/terms-and-conditions
Tags: #Smallcap, AR, AugmentedReality