The year 2023 was full of challenges. This is part of a statement made by Scott Burton, the Chief Executive Officer of FansUnite. The statement came at a time when the company delivered its corporate update for the year as it drew closer to a conclusion. Scott has majorly highlighted the efforts and role of the core team in managing to walk through the tougher year with strategic decisions.
For starters, the British Columbia company introduced a comprehensive restructuring plan to streamline its operations. Other aspects of the plan included optimizing operations and aligning resources with the existing conditions of the environment. The restructuring plan is also what triggered the divestment of non-core assets.
A series of corporate activities began in February when FansUnite sold one of its affiliate brands to Stram Entertainment Limited. BetPrep parted ways with the management on the condition that the company would pay 30% of its revenue for 36 months, subject to a monthly guarantee on a minimum basis.
BestOdds, also known as Stram Entertainment, has agreed to the said condition.
Next, FansUnite sold McMookie for a cash deal worth CA$5 million. This dates back to May 2023, when the UK’s online gambling and sportsbook brands had to be removed from the family course.
The last similar move was with the source code of the B2B Chameleon Gaming Platform. It has been sold to Betr Holdings for a consideration of CA$10 million. Burton has acknowledged the developments, citing that the team has demonstrated adaptability and resilience to take the company on the path of profitability and successful restructuring. The CEO has further stated that all the developments in 2023 have paved the way for a positive future, with progress expected to be tangible in the coming quarters.
FansUnite has shared corporate updates months after publishing its numbers for the third quarter of 2023.
Revenue and gross profit were up by 12% and 27%, respectively, compared to the same quarter of the previous year. Based on Canadian gambling news, the numbers stood at CA$4.8 million and CA$2.8 million in the same order. Revenue for Q3-2022 was CA$4.3 million. Gross profit for the same year was CA$2.2 million.
At the conclusion of a fiscal year, the primary purpose of Scott Burton signing the closing remarks and FansUnite disseminating corporate updates is to reassure the community that the brand is anticipated to grow positively. Preparing for a future in which financial performance is more environmentally sustainable and maintaining resilience has proven to be a crucial choice. It is anticipated that business and macroeconomic difficulties will persist into 2024; however, the brand is better positioned to function following the divestiture of specific operational divisions.
Another way to work in a good direction is by implementing a comprehensive restructuring plan.
