Rivalry Achieves Record Q1 Revenue and Reduces Net Losses, Focusing on Product Innovation and Market Expansion
Rivalry, an international betting and media company based in Toronto, has reported its highest-ever quarterly revenue of CA$12 million in Q1 2023, representing a year-on-year growth rate of 151%. The company also achieved a gross profit of $5.4 million, an increase of 89% from Q1 2022. Although Rivalry continued to operate at a loss, the net losses were reduced by 50% compared to the previous year.
The revenue growth was driven by a significant increase in betting handle, which rose by 199% to $120.2 million. Rivalry’s engagement strategy with Gen Z and millennial bettors played a crucial role in its success, leveraging partnerships with influencers and media properties. The company’s customer activations during esports events and a focus on authentic touchpoints contributed to its marketing effectiveness.
Rivalry closed Q1 with $13.1 million in cash and no debt. Additionally, it raised $7.3 million through a private placement and made a $10 million investment in product innovation and development. Looking ahead to Q2 and Q3, Rivalry plans to focus on the development of its sportsbook/esportsbook product and Casino.exe igaming offering to maintain a competitive edge in the market. The company is active in Canada and Australia but sees opportunities in Latin America, Southeast Asia, and Europe.
CEO Steven Salz emphasized Rivalry’s commitment to building innovative and engaging products that enhance the betting experience and drive user activity and satisfaction. The company aims to achieve consistent organic momentum and operational efficiency through a profitable acquisition strategy and product innovation.