FansUnite announces growth and 402% revenue surge from Props.com By Investing.com

FansUnite Entertainment has reported an increase in revenue and a reduction in net loss for the full year 2023, according to its Q4 and Year-end Earnings Call. The company’s revenue grew to $23.7 million, up by 3%, with significant strides in its affiliate business, including a 402% revenue surge in its Props.com domain.

Despite challenges in some states, the company has managed to improve its financial standing by selling certain assets and focusing on cash flow-positive segments. FansUnite’s CEO, Scott Burton, highlighted the company’s customer acquisition success and the potential for future growth, particularly during major sporting events like the Super Bowl and March Madness.

Key Takeaways

• FansUnite Entertainment reports a 3% revenue increase to $23.7 million for 2023.
• The company saw a net loss of $18.3 million, indicating an improvement from the previous year.
• Strategic sales of assets, including McBookie and the Chameleon Gaming Platform, were made to concentrate on cash flow positive operations.
• Affiliate business, particularly Props.com, experienced significant revenue growth.
• The company completed its transition away from B2B platform licensing with the sale of their platform.
• FansUnite aims to eliminate debt, avoid dilution, and maintain positive cash flow.

Company Outlook

• FansUnite is focusing on strengthening its balance sheet and funding growth internally.
• The company plans to expand its affiliate business through strategic partnerships and improved digital assets.
• There is potential for selling the Chameleon source code in 2024.
• FansUnite plans to eliminate debt and minimize dilution.

Bearish Highlights

• Revenue was offset by reduced performance in New York, New Jersey, and Arizona.
• The company recorded a net loss, although it was an improvement from the prior year.

Bullish Highlights

• Affiliate segment and Props.com domain saw substantial revenue increases.
• Positive cash flow was achieved in 2023.
• Betting Hero had strong performances during key events.

Misses

• Specific markets underperformed, contributing to a net loss despite overall revenue growth.

Q&A Highlights

• CEO Scott Burton discussed customer acquisition and improving online search rankings.
• The company is in discussions to sell the Chameleon source code.
• The partnership with Betr is progressing well, with positive interactions.

FansUnite Entertainment (ticker not provided), with its strategic shift towards a more profitable affiliate business model, has set a course for continued growth and financial…