RICHMOND, Va.–(BUSINESS WIRE)– Bowlero Corp. (NYSE: BOWL) (“Bowlero” or the “Company”), the global leader in bowling entertainment, will report financial results for the fourth quarter and full year 2023 on Monday, September 11, 2023 before the U.S. stock market opens. Management will discuss the results via webcast at 10:00 AM ET on the same day.
The live webcast, replay and results presentation will be available in the Events & Presentations section of the Bowlero Investor Relations website at https://ir.bowlerocorp.com/overview/default.aspx.
About Bowlero Corp.
Bowlero Corp. is the global leader in bowling entertainment, media, and events. With more than 325 bowling centers across North America, Bowlero Corp. serves more than 30 million guests each year through a family of brands that includes Bowlero and AMF. In 2019, Bowlero Corp. acquired the Professional Bowlers Association, the major league of bowling, which boasts thousands of members and millions of fans across the globe. For more information on Bowlero Corp., please visit BowleroCorp.com.
IRVING, Texas–(BUSINESS WIRE)– Salem Media Group, Inc. (NASDAQ: SALM) announced today that it entered into an agreement to transfer the ownership of its Greenville-Spartanburg stations, WGTK-FM, WRTH-FM, and WLTE-FM to Educational Media Foundation (EMF). Salem Media CEO David Santrella stated, “We have enjoyed our years in the Greenville-Spartanburg market but have made the strategic decision to divest our interests there. As we do, we are grateful to be able to place these signals in the hands of Educational Media Foundation (EMF) who share a like-minded mission with Salem through their music programming. We are also thankful to our Greenville-Spartanburg staff for their many years of service.”
ABOUT SALEM MEDIA GROUP:
Salem Media Group is America’s leading multimedia company specializing in Christian and conservative content, with media properties comprising radio, digital media and book and newsletter publishing. Each day Salem serves a loyal and dedicated audience of listeners and readers numbering in the millions nationally. With its unique programming focus, Salem provides compelling content, fresh commentary and relevant information from some of the most respected figures across the Christian and conservative media landscape. Learn more about Salem Media Group, Inc. at www.salemmedia.com, Facebook and Twitter.
CULVER CITY, Calif., Aug. 22, 2023 (GLOBE NEWSWIRE) — Snail, Inc. (Nasdaq: SNAL) (“Snail” or “the Company”), a leading, global independent developer and publisher of interactive digital entertainment, today announced that its indie publishing sub-label, Wandering Wizard, will be showcasing its latest games, Survivor Mercs, West Hunt and Expedition Agartha, at the upcoming PAX West 2023 event in Seattle, running from September 1 through 4, 2023.
Survivor Mercs, developed by Wolperginger Games, is an Early Access roguelite action game that blends the bullet-heaven and extraction shooter genre for a challenging single-player experience where no two gameplay runs are alike. West Hunt, developed by NewGen Studio, is a one-to-six-player social deduction game set in the Old West. The game allows players to immerse themselves in the Wild West as hardworking townsfolk, sheriffs, or outlaws. Expedition Agartha, developed by Matrioshka Games, is an Early Access multiplayer First Person Looter Survival game that challenges players to explore a mysterious island in the Lost Continent of Mu and uncover the secrets of Agartha.
After the commendable reception at PAX East 2023 held in Boston earlier in March, Wandering Wizard is excited to reconnect with fans and industry professionals from the West Coast at this notable event and generate buzz around its latest games. PAX West 2023 is one of the largest gaming conventions in North America, providing an ideal opportunity for Wandering Wizard to promote its games and expand its reach.
At booth 608 on the 4th Floor of the Seattle Convention Center, Wandering Wizard will provide visitors with the opportunity to get hands-on gameplay experience with West Hunt and Expedition Agartha. Additionally, a demo presentation of Survivor Mercs will be available at the booth. The onsite team from Wandering Wizard will be available for discussion, offering insight into game development. In addition, visitors stand a chance to win Early Access codes, exclusive merchandise, both on-site and online.
Jim Tsai, Chief Executive Officer of Snail, commented: “The upcoming PAX West 2023 provides an unparalleled platform for Wandering Wizard to engage with the expansive gaming community. Our dedicated team at Wandering Wizard strives to deliver top-tier gaming experiences with a distinct emphasis on player feedback and sustained improvement. As we approach PAX West 2023, we look forward to showcasing our game offerings and enhancing our visibility.”
About Snail, Inc.
Snail is a leading, global independent developer and publisher of interactive digital entertainment for consumers around the world, with a premier portfolio of premium games designed for use on a variety of platforms, including consoles, PCs and mobile devices.
Forward-Looking Statements
This press release contains statements that constitute forward-looking statements. Many of the forward-looking statements contained in this press release can be identified by the use of forward-looking words such as “anticipate,” “believe,” “could,” “expect,” “should,” “plan,” “intend,” “may,” “predict,” “continue,” “estimate” and “potential,” or the negative of these terms or other similar expressions. Forward-looking statements appear in a number of places in this press release and include, but are not limited to, statements regarding Snail’s intent, belief or current expectations. These forward-looking statements include information about possible or assumed future results of Snail’s business, financial condition, results of operations, liquidity, plans and objectives. The statements Snail makes regarding the following matters are forward-looking by their nature: growth prospects and strategies; launching new games and additional functionality to games that are commercially successful, including the launch of ARK: Survival Ascended, ARK: The Animated Series and ARK 2; expectations regarding significant drivers of future growth; its ability to retain and increase its player base and develop new video games and enhance existing games; competition from companies in a number of industries, including other game developers and publishers and both large and small, public and private Internet companies; its relationships with third-party platforms such as Xbox Live and Game Pass, PlayStation Network, Steam, Epic Games Store, the Apple App Store, the Google Play Store, My Nintendo Store and the Amazon Appstore; expectations for future growth and performance; and assumptions underlying any of the foregoing.
Definitive agreements signed to acquire Merri-Bowl Lanes and BAM! Entertainment Center
RICHMOND, Va.–(BUSINESS WIRE)– Bowlero Corp. (NYSE: BOWL), the global leader in bowling entertainment, announced today they have entered into definitive agreements to acquire Merri-Bowl Lanes and BAM! Entertainment Center in Michigan. These acquisitions mark the company’s 4th and 5th locations in the state and are expected to close in the fall of 2023.
Located in Livonia, MI, Merri-Bowl Lanes is a traditional 35,000-square-foot center featuring 40 lanes of bowling. This location is a family-fun destination, showcasing a diverse array of entertainment experiences, including league play, youth and adult tournaments, parties, and events.
BAM! Entertainment Center, located in Holland, is a one-stop entertainment destination featuring 29 lanes of bowling and a multitude of dynamic offerings, including a laser tag arena, axe throwing, a high ropes course, and an expansive arcade. This entertainment center is also home to VIP party rooms, extensive menu options, and full-service bars.
“Our expansion in Michigan furthers our commitment to contributing a world-class experience across the country,” stated Thomas Shannon, Founder, President, and CEO of Bowlero Corp. “These acquisitions align with our ongoing strategic growth initiatives of buy, build and convert. We look forward to our continued growth as we welcome these additions to our portfolio.”
About Bowlero Corp
Bowlero Corp. is the global leader in bowling entertainment, media, and events. With more than 325 bowling centers across North America, Bowlero Corp. serves more than 30 million guests each year through a family of brands that includes Bowlero and AMF. In 2019, Bowlero Corp. acquired the Professional Bowlers Association, the major league of bowling, which boasts thousands of members and millions of fans across the globe. For more information on Bowlero Corp., please visit BowleroCorp.com
SANTA MONICA, Calif.–(BUSINESS WIRE)– Entravision Communications Corporation (NYSE: EVC), a leading global media and marketing technology company, today announced that the Company will bring listeners the most extensive Spanish language radio broadcast coverage of the NFL for the 2023-24 season. For the 9th consecutive season, Entravision will broadcast 51 prime NFL games in Spanish across its US owned-and-operated radio stations and in key markets through affiliate partnerships that include Latino Media Network.
Entravision will begin with the NFL Kickoff game on Thursday, September 7th, featuring a match-up between the Detroit Lions and the defending Super Bowl champions, the Kansas City Chiefs. Radio coverage continues across the expanded 18-week NFL season, including all Sunday Night Football and Monday Night Football games, and will continue through the postseason, including the AFC Championship, NFC Championship, and, for the very first time, culminating with Super Bowl LVIII in Las Vegas on February 11, 2024. Super Bowl LVIII will be played at Allegiant Stadium, home of the NFL’s Las Vegas Raiders.
Entravision’s game day broadcasts include a pre-game show, followed by the live game broadcast and post-game analysis. In addition, Sunday broadcasts start with a 30-minute signature analysis show, Pase Completo, prior to the pre-game show, featuring veteran multi-sport announcer Ricardo Celis and game analyst Tony Nuñez. The Pase Completo program will also be streamed live on Facebook Live.
“We are thrilled to extend our long-term partnership with the NFL and bring our listeners the most extensive Spanish language radio broadcast of the National Football League,” said Jeffery Liberman, President and Chief Operating Officer of Entravision Communications Corporation. “The fastest-growing fan base for the NFL is the Latino consumer which is passionately awaiting the start of the season. We have had a great partnership with the NFL, and we will continue to build upon this momentum to provide best-in-class coverage and unique cross-promotions that amplify key NFL initiatives.”
“Our partnership with Entravision is vital, as it helps bring the NFL to Spanish-speaking fans across the country, one of the fastest growing segments of our football fan base,” said Marissa Solis, NFL SVP Global Brand and Consumer Marketing. “Providing Spanish language calls of a large slate of NFL games, including Sunday Night and Monday Night Football, as well as the postseason and the Super Bowl, Entravision will ensure that our Latino fans have the access to the NFL that they deserve.”
Entravision O&O Station List
Market
Station
Call Letters
Los Angeles, CA
Viva 103.1 FM
KDLD-FM/KDLE-FM
Phoenix, AZ
La Suavecita 106.9 y 107.1 FM
KVVA-FM and KDVA-FM
Denver, CO
La Suavecita 92.1 FM
KJMN-FM
Sacramento, CA
La Suavecita 104.3 FM
KXSE-FM
Las Vegas, NV
Fuego 92.7 FM
KRRN-FM
El Paso, TX
La Suavecita 93.9 FM
KINT-FM
Monterey/Salinas, CA
La Suavecita 107.1 FM
KSES-FM
Albuquerque, NM
TUDN 1450 AM
KRZY-AM
McAllen, TX
La Suavecita 101.9 FM
KNVO-FM
Palm Springs, CA
Fuego 103.5 FM
KPST-FM
Stockton/Modesto
La Suavecita 97.1 FM
KTSE-FM
Reno, NV
La Tricolor 102.1 FM
KRNV-FM
El Centro, CA
La Suavecita 94.5 FM
KSEH-FM
Lubbock, TX
TUDN 1460 AM
KBZO-AM
Aspen, CO
La Tricolor 104.3 y 107.1 FM
KPVW-FM
Latino Media Network Affiliate Station List
Market
Station
Call Letters
New York, NY
1280 AM
WADO-AM*
Miami, FL
1140 AM
WQBA-AM
Chicago, IL
1200 AM
WRTO-AM
Dallas, TX
1270 AM
KFLC-AM
*WADO-AM is under contract to be acquired by Latino Media Network from TelevisaUnivision.
About Entravision Communications Corporation
Entravision is a diversified global media, marketing and technology company serving clients throughout the United States and in more than 20 countries across Latin America, Europe, and Asia. Entravision has 54 television stations and is the largest affiliate group of the Univision and UniMás television networks, and 48 Spanish-language radio stations that feature nationally recognized, award-winning talent. Our dynamic digital portfolio includes Entravision Digital, which serves SMBs in high-density U.S. Latino markets and provides cutting-edge mobile programmatic solutions and demand-side platforms that allow advertisers to execute performance campaigns using machine-learned bidding algorithms, along with Cisneros Interactive, a leader in digital advertising solutions in the Latin American and U.S. Hispanic markets representing major technology platforms. Shares of Entravision Class A Common Stock trade on The New York Stock Exchange under the ticker symbol: EVC. Learn more about all of our media, marketing and technology offerings at entravision.com or connect with us on LinkedIn and Facebook.
About Latino Media Network
Latino Media Network is a media company serving the Latino community by helping us make sense of the world and their place in it. We will inspire, inform and celebrate Latinos through an audio focused multimedia network, owned and operated by members of our community. We will focus on content creation across a variety of culturally relevant subjects and help our community navigate the ocean of information that exists in our society. The network will create cultural pride by telling our stories, addressing our concerns and talking about opportunities for a better future.
MIAMI, Aug. 16, 2023 (GLOBE NEWSWIRE) — Motorsport Games Inc. (NASDAQ: MSGM) (“Motorsport Games” or the “Company”), a leading racing game developer, publisher and esports ecosystem provider of official motorsport racing series throughout the world, will report its financial results for the first fiscal quarter of 2023 on Monday, August 21, 2023, after market close. Management will host a conference call and webcast on the same day at 5:00 p.m. ET to discuss the results.
Participants may access the live webcast on the Company’s investor relations website at https://ir.motorsportgames.com under “Events.” The call may also be accessed by dialing 1 (844) 826-3033 from the U.S., or by dialing 1 (412) 317-5185 internationally.
About Motorsport Games: Motorsport Games, a Motorsport Network company, is a leading racing game developer, publisher and esports ecosystem provider of official motorsport racing series throughout the world. Combining innovative and engaging video games with exciting esports competitions and content for racing fans and gamers, Motorsport Games strives to make the joy of racing accessible to everyone. The Company is the officially licensed video game developer and publisher for iconic motorsport racing series across PC, PlayStation, Xbox, Nintendo Switch and mobile, including NASCAR, INDYCAR, 24 Hours of Le Mans and the British Touring Car Championship (“BTCC”), as well as the industry leading rFactor 2 and KartKraft simulations. rFactor 2 also serves as the official sim racing platform of Formula E, while also powering F1 Arcade through a partnership with Kindred Concepts. Motorsport Games is an award-winning esports partner of choice for 24 Hours of Le Mans, Formula E, BTCC, the FIA World Rallycross Championship and the eNASCAR Heat Pro League, among others. Motorsport Games is building a virtual racing ecosystem where each product drives excitement, every esports event is an adventure and every story inspires.
Website and Social Media Disclosure:
Investors and others should note that we announce material financial information to our investors using our investor relations website (ir.motorsportgames.com), SEC filings, press releases, public conference calls and webcasts. We use these channels, as well as social media and blogs, to communicate with our investors and the public about our company and our products. It is possible that the information we post on our websites, social media and blogs could be deemed to be material information. Therefore, we encourage investors, the media and others interested in our company to review the information we post on the websites, social media channels and blogs, including the following (which list we will update from time to time on our investor relations website):
CULVER CITY, Calif., Aug. 16, 2023 (GLOBE NEWSWIRE) — Snail, Inc. (Nasdaq: SNAL) (“Snail”), a leading, global independent developer and publisher of interactive digital entertainment, today announced Wolpertinger Games, a newly contracted independent studio, aims to launch the early access of Survivor Mercs on Thursday September 14th, 2023, on Steam and Steam Deck. This launch marks a major progression in the collaborative journey between Snail and Wolpertinger Games since the recent partnership announcement.
Survivor Mercs is a rogue-lite action game that blends the bullet-heaven and extraction shooter genre for a challenging single-player experience where no two gameplay runs are alike. Players assume the role of the Commander of an elite Mercs squad, battling against a formidable mega-corporation’s private robot army on procedurally generated battlefields. The game offers an engaging combination of strategy, tactics, action and adventure, coupled with the opportunity to build your squad from a diverse roster of Mercs, each with individual skill trees and weapon configurations. Furthermore, the procedurally generated maps of Survivor Mercs present different mission parameters and unique bosses, ensuring unpredictability and excitement in every operation.
Jim Tsai, Chief Executive Officer of Snail, commented, “Following our recent strategic partnership announcement with Wolpertinger Games, we are delighted to present the early access launch of Survivor Mercs. We aim to leverage our resources and expertise to assist Wolpertinger Games in publishing and promoting this high – quality indie game, ensuring players enjoy a seamless early access launch experience. As we move forward, we will continue fostering such partnerships, supporting indie studios, and delivering captivating gaming experiences to our global audience.”
Snail is a leading, global independent developer and publisher of interactive digital entertainment for consumers around the world, with a premier portfolio of premium games designed for use on a variety of platforms, including consoles, PCs and mobile devices.
Forward-Looking Statements
This press release contains statements that constitute forward-looking statements. Many of the forward-looking statements contained in this press release can be identified by the use of forward-looking words such as “anticipate,” “believe,” “could,” “expect,” “should,” “plan,” “intend,” “may,” “predict,” “continue,” “estimate” and “potential,” or the negative of these terms or other similar expressions. Forward-looking statements appear in a number of places in this press release and include, but are not limited to, statements regarding Snail’s intent, belief or current expectations. These forward-looking statements include information about possible or assumed future results of Snail’s business, financial condition, results of operations, liquidity, plans and objectives. The statements Snail makes regarding the following matters are forward-looking by their nature: growth prospects and strategies; launching new games and additional functionality to games that are commercially successful, including the launch of ARK: Survival Ascended, ARK: The Animated Series and ARK 2; expectations regarding significant drivers of future growth; its ability to retain and increase its player base and develop new video games and enhance existing games; competition from companies in a number of industries, including other game developers and publishers and both large and small, public and private Internet companies; its relationships with third-party platforms such as Xbox Live and Game Pass, PlayStation Network, Steam, Epic Games Store, the Apple App Store, the Google Play Store, My Nintendo Store and the Amazon Appstore; expectations for future growth and performance; and assumptions underlying any of the foregoing.
QuoteMedia is a leading software developer and cloud-based syndicator of financial market information and streaming financial data solutions to media, corporations, online brokerages, and financial services companies. The Company licenses interactive stock research tools such as streaming real-time quotes, market research, news, charting, option chains, filings, corporate financials, insider reports, market indices, portfolio management systems, and data feeds. QuoteMedia provides industry leading market data solutions and financial services for companies such as the Nasdaq Stock Exchange, TMX Group (TSX Stock Exchange), Canadian Securities Exchange (CSE), London Stock Exchange Group, FIS, U.S. Bank, Broadridge Financial Systems, JPMorgan Chase, CI Financial, Canaccord Genuity Corp., Hilltop Securities, HD Vest, Stockhouse, Zacks Investment Research, General Electric, Boeing, Bombardier, Telus International, Business Wire, PR Newswire, FolioFN, Regal Securities, ChoiceTrade, Cetera Financial Group, Dynamic Trend, Inc., Qtrade Financial, CNW Group, IA Private Wealth, Ally Invest, Inc., Suncor, Virtual Brokers, Leede Jones Gable, Firstrade Securities, Charles Schwab, First Financial, Cirano, Equisolve, Stock-Trak, Mergent, Cision, Day Trade Dash and others. Quotestream®, QModTM and Quotestream ConnectTM are trademarks of QuoteMedia. For more information, please visit www.quotemedia.com.
Michael Kupinski, Director of Research, Equity Research Analyst, Digital, Media & Technology , Noble Capital Markets, Inc.
Jacob Mutchler, Research Associate, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
Mixed Q2 results. The second quarter results were mixed, with revenues lighter than expected and adj. EBITDA largely in line. Revenues were adversely affected by exchange rates but, after that adjustment, were still a little light. Total company revenues increased 9.6% to $4.7 million versus our $4.95 million estimate. Adj. EBITDA was $808,000 versus our $850,000 estimate.
Tempered revenue outlook. Management anticipates that revenue growth in the back half of the year will look similar to the growth rate in Q2. In addition to the exchange rate, revenues are expected to be adversely impacted by customers switching to cheaper exchange feed alternatives. This portion of its business carries a very low margin and, as such, adj. EBITDA is not significantly impacted.
Equity Research is available at no cost to Registered users of Channelchek. Not a Member? Click ‘Join’ to join the Channelchek Community. There is no cost to register, and we never collect credit card information.
This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).
*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.
Snail is a leading, global independent developer and publisher of interactive digital entertainment for consumers around the world, with a premier portfolio of premium games designed for use on a variety of platforms, including consoles, PCs and mobile devices.
Michael Kupinski, Director of Research, Equity Research Analyst, Digital, Media & Technology , Noble Capital Markets, Inc.
Patrick McCann, CFA, Research Analyst, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
Q2 results. The company reported Q2 revenue of $9.9 million and adj. EBITDA of a loss of $4.7 million, both of which were below our forecast. We anticipated $22.5 million in revenue and positive adj. EBITDA of $4.0 million. In our view, the miss was largely a result of the timing of the company’s releases.
Looking ahead to Q4. Despite the negative adj. EBITDA in the quarter, the company remains on track to release ARK: Survival Ascended in October of this year. Survival Ascended is a re-release of the company’s flagship game with several updates, powered by Unreal Engine 5. The company is also slated to re-release all 5 ARK DLCs using Unreal Engine 5, subsequent to the release of ARK: Survival Ascended.
Equity Research is available at no cost to Registered users of Channelchek. Not a Member? Click ‘Join’ to join the Channelchek Community. There is no cost to register, and we never collect credit card information.
This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).
*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.
With more than 60 units, RCI Hospitality Holdings, Inc., through its subsidiaries, is the country’s leading company in adult nightclubs and sports bars/restaurants. Clubs in New York City, Chicago, Dallas-Fort Worth, Houston, Miami, Minneapolis, Denver, St. Louis, Charlotte, Pittsburgh, Raleigh, Louisville, and other markets operate under brand names such as Rick’s Cabaret, XTC, Club Onyx, Vivid Cabaret, Jaguars Club, Tootsie’s Cabaret, Scarlett’s Cabaret, Diamond Cabaret, and PT’s Showclub. Sports bars/restaurants operate under the brand name Bombshells Restaurant & Bar.
Joe Gomes, Managing Director, Equity Research Analyst, Generalist , Noble Capital Markets, Inc.
Joshua Zoepfel, Research Associate, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
Third Quarter Results. RCI reported revenue of $77.1 million, up 9% y-o-y and in-line with our $77.8 million estimate. Net income was $9.1 million, or EPS of $0.96 compared to $13.9 million, or $1.48, last year with 3Q23 results impacted by higher expenses and one-time costs. Adjusted EPS was $1.30 versus $1.60. Adjusted EBITDA was at $22.7 million versus $24.6 million last year. We estimated net income of $12.9 million, EPS of $1.34, and adjusted EBITDA of $24.9 million.
Tough Comps and a Tough Environment. We would note 3Q22 had one of the highest levels of operating leverage in the last five years, as the business benefitted from the COVID emergence, directly impacting y-o-y comparisons. A continued uncertain economic environment also impacted results to a degree.
Equity Research is available at no cost to Registered users of Channelchek. Not a Member? Click ‘Join’ to join the Channelchek Community. There is no cost to register, and we never collect credit card information.
This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).
*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.
Harte Hanks (NASDAQ: HHS) is a leading global customer experience company whose mission is to partner with clients to provide them with CX strategy, data-driven analytics and actionable insights combined with seamless program execution to better understand, attract, and engage their customers. Using its unparalleled resources and award-winning talent in the areas of Customer Care, Fulfillment and Logistics, and Marketing Services, Harte Hanks has a proven track record of driving results for some of the world’s premier brands including Bank of America, GlaxoSmithKline, Unilever, Pfizer, HBOMax, Volvo, Ford, FedEx, Midea, Sony, and IBM among others. Headquartered in Chelmsford, Massachusetts , Harte Hanks has over 2,500 employees in offices across the Americas, Europe and Asia Pacific .
Michael Kupinski, Director of Research, Equity Research Analyst, Digital, Media & Technology , Noble Capital Markets, Inc.
Jacob Mutchler, Research Associate, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
Solid Q2 results. The company reported Q2 revenue of $47.8 million, 3% lower than our estimate of $49.3 million. The slight miss was attributed to softer than expected revenues from Marketing Services and Fulfillment & Logistics. Adj. EBITDA in the quarter was $4.4 million, which beat our estimate of $3.9 million by 12.6%. The favorable adj. EBITDA surprise was due to stronger than expected Customer Care revenue, which boasts higher margins than its other revenue streams.
Second-half outlook. Management indicated that Q3 and Q4 likely will be similar to the revenue baseline of Q2 results. Notably, management highlighted that each quarter is expected to be profitable due to costs and expected improvements in the Customer Care pipeline.
Equity Research is available at no cost to Registered users of Channelchek. Not a Member? Click ‘Join’ to join the Channelchek Community. There is no cost to register, and we never collect credit card information.
This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).
*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.
Michael Kupinski, Director of Research, Equity Research Analyst, Digital, Media & Technology , Noble Capital Markets, Inc.
Patrick McCann, CFA, Research Analyst, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
Q2 in line. The company reported Q2 revenue of $35.4 million, above our previously lowered forecast of $29.7 million. Adj. EBITDA of $3.1 million was largely in line with our forecast of $3.2 million. Total company revenue grew a strong 66.5% over the prior year period, despite economic headwinds.
Sell-side revenue bucks trends. The robust revenue growth in the quarter was lead by the company’s Sell-side programmatic platform. Sell-side revenue nearly doubled (+97.7%) over the prior year period to $23.6 million. We believe the strong results reflect well on the technology investments management has made to position the platform for favorable growth.
Equity Research is available at no cost to Registered users of Channelchek. Not a Member? Click ‘Join’ to join the Channelchek Community. There is no cost to register, and we never collect credit card information.
This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).
*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.
How the Popularity of Parlay Betting is Helping the Major Players
The business of gambling keeps growing as more types of wagers become popular and a friendlier legal environment encourages major players like DraftKings (DKNG) and FanDuel (PDYPF), as well as smaller online sites. A new online betting trend has been particularly profitable for companies who include it in their product line-up. Although specific financials remain undisclosed, parlay betting has dramatically added to the bottom line of some sportsbooks.
While not public, an analysis published in Barron’s of state gambling regulatory data shows the average amount the house keeps from the wagers is around 20% for parlay bets. This compares quite favorably to the 5% kept by conventional individual outcome wagers.
What is a Parlay Bet?
A parlay bet is a type of sports bet where you combine two or more individual bets into one single all-or-nothing bet. The payout for a parlay bet is much higher than for a single bet, but the probability of winning is much lower.
For example, let’s say you want to bet on the following three NFL games:
The Dallas Cowboys to beat the New York Giants
The Tampa Bay Buccaneers to beat the Philadelphia Eagles
The Miami Dolphins to beat the New York Jets
You could place three separate bets on these games, but you would only win a small amount of money if all three bets won. Instead, you could place a parlay bet on all three games. If you win the parlay bet, you will win a much larger amount.
The payout for a parlay bet is calculated by multiplying the odds of each individual bet together. So, if the odds of the Cowboys winning are 1.50, the odds of the Buccaneers winning are 2.00, and the odds of the Dolphins winning are 1.75, the odds of the parlay bet winning would be 1.50 x 2.00 x 1.75 = 5.25.
This means that if you bet $100 on the parlay bet, you would win $525 if all three bets won.
Gambling companies emphasize that parlays are no gimmick. The odds aren’t skewed in the company’s favor or anything shifty; rather, parlays introduce higher odds against bettors due to the cumulative impact of various outcomes. Betting on multiple events, even up to 10, compounds the odds of each event’s success. This is how the casinos’ 4% to 5% edge evolves into a substantial 20%.
Margins are Better for Companies
The increase in earnings from these bets has helped lift stock values much higher than the overall market.
The growing popularity of parlay bets has also served to increase the appetite in the U.S. for sports betting. In 2018 a Supreme Court’s ruling opened the doors for sports gambling, leaving the decision to legalize it to individual states. Since then, 38 states and Washington, D.C. have legalized sports betting, with online betting approved in 24 of them. The operators amassed a gross revenue of $7.5 billion in 2022, as per the American Gaming Association, and numerous analysts speculate that further state legalization and innovative trends such as parlays could propel the market up to $30 billion or more.
The big two, DraftKings and Flutter/FanDuel dominate the market after spending heavily for years on advertising. Their state-of-the-art technology and popular parlays have helped increase market share. The companies are now veering away from over-the-top marketing, as evidenced by the 49% dip in TV ad spending by online sports betting firms in Q2, and DraftKings’ 10% reduction in marketing expenditures in established markets during the latest quarter.
Regardless of market dominance, parlays are poised to proliferate due to their popularity and profitability. While Las Vegas has long capitalized on the attractiveness of quick riches, the advent of online companies’ represents a distinct shift in the dynamics. Unlike casinos that can’t dramatically boost their own profitability in games like blackjack, the digital platforms can reach the masses electronically and digitally.
As mentioned, this surge in parlays resonates with the penchant for sudden riches, and can be witnessed far beyond Las Vegas. The recent Mega-Millions $1.55 billion prize had players lined up in the summer heat to pay for an almost impossible chance of winning. Platforms like Robinhood appealed to the high-risk high-return nature of many and amassed more brokerage customers in a year than any other company in history.
Parlays effectively tap into and profit handsomely off the mentality of all-or-nothing large gains. A mere $10 parlay could translate into thousands in winnings, mirroring the “got to be in it to win it” feeling of the lottery. But here, the bettor can feel more in control.
Take Away
The overall stock market performance is reported each trading day in popular indexes, but there are individual sectors that rise, or fall separately and at a different pace than each index. Index funds and ETF buyers are beginning to realize that a portion of their portfolio invested in industries and companies that are showing more strength than the S&P, Dow, or Nasdaq indexes may allow for enhanced performance. Many keep the largest allocation in an indexed fund or ETF to still maintain the diversification that prompted the indexed fund investment to begin with.
This December hundreds of investors will be attending NobleCon19 in order to discover actionable ideas they can invest in. The investment conference is the place where both professional and self-directed market participants go to become familiar with less mainstream companies and management. You’re invited – go here for all the information you will need to join us in Florida later this year.
