Kindred Group has reported a fourth quarter revenue jump of 55% to £365 million.

This has been achieved through continued strong activity across its markets and products, and record active customer numbers of 1.78 million, an increase of 11 per cent compared to the same quarter last year.

Gross winnings revenue growth was also supported by a slightly higher than normal sports betting margin, which was approximately 10 per cent (after free bets) for the quarter, compared to the long-term average margin of around 8.5 per cent.

Underlying EBITDA for the fourth quarter of 2020 is estimated to be approximately GBP 115 million (Q4 2019: GBP 30.7 million) which is significantly higher than the current consensus. The main contributing factors for this increase are the strong revenue growth, combined with Kindred’s continued focus on operational efficiency and costs.

The level of marketing investment has gradually increased during the second half of the year and during the fourth quarter the total marketing spend was around 13 per cent higher than in the fourth quarter of 2019. Although marketing spend increased between the third and fourth quarters of 2020, the significant increase in revenue and improved marketing efficiencies have meant that marketing spend was approximately 21 per cent of Gross winnings revenue for the quarter. Despite a drop in marketing spend during the pandemic, Kindred’s share of voice has increased throughout 2020.