Racing and Sports Technology has come out of the gates strong with its first full year results since listing on the ASX.

Leading sports wagering data provider RAS Technology Holdings (ASX:RTH) has announced record FY22 results with accelerated revenue growth of $8.33 million, up 57% year on year (YoY), as the company escalated global expansion plans.

The Canberra-based business delivered an annualized monthly recurring revenue (AMRR) of $8.92 million, up 35%, driven largely by the company’s rapid international expansion and growing enterprise customer base.

RAS is one of the leading providers of premium data, enhanced content and SaaS solutions to the global racing and wagering industries, operating across 30 countries with its data driving the offerings of Sportsbet, Tabcorp, Bet365, Betfair, BlueBet and the Entain-owned Ladbrokes, among others.

Bearing fruit

The FY results reflected RAS Tech’s increased focus on strong strategic partnerships with the company growing its enterprise customers to 21 with an average annualized revenue per customer of $419,000, up from $344,000 the year before.

Crispe said the company’s hard work laying the foundations for growth was bearing fruit.

“We see tremendous growth opportunities in FY2023, especially in the UK and European markets, but also in North America, with increased demand for high quality content, data, and analytics products and services covering racing globally.”

“We continue to execute on our global expansion plans with new and expanded commercial partnerships internationally, while also building opportunities with Sky Racing World and XB-Net in the US, and GBGB in the UK” he said.

Powerhouse partnerships

The company has announced a series of major partnerships and contracts in the last six months including, subsequent to period end, an expanded five-year contract with Entain, one of the world’s largest sports betting and gaming groups, valued at $5 million.

It also partnered with wagering powerhouse Flutter (the owner of BetEasy, BetFair, Paddy Power, SkyBet, SportsBet, and Timeform) via the group’s advanced-deposit wagering (ADW) platform is the leading ADW platform in North America processing more than $2 billion in horse racing wagers annually across 30 states. Under the agreement, RAS will provide data and content specifically targeted for domestic US punters.

CEO Stephen Crispe said the deal would significantly bolster RAS’s presence in the US.

“This is an exciting milestone for the business as it is the first contract of its kind for the North American wagering landscape and will no doubt prove very popular driving increased player participation on those events and comes as a direct result of the Racing and Sports and Sky Racing World partnership announced earlier this year,” he said.

Discovering new turf

Back in Australia, RAS signed a new partnership with the Australian Turf Club which will see the company provide a range of wagering and media services as well as year-round support of Sydney racing.

As part of the deal, the Racing and Sports Punters Podium will be a regular feature on course at major race days at Royal Randwick and Rosehill Gardens during the upcoming Spring for the Sydney Everest Carnival along with the Sydney Autumn Racing Carnival.

The podium allows on-course customers to buy shares before Racing and Sports form and

wagering experts place bets at Sydney meetings during the race day, with overall winning dividends shared amongst ticketholders. Racing and Sports will also have naming rights for two Group races in Sydney.

Robust balance sheet

Crispe also highlighted the company’s strong balance sheet which positioned RAS well to capitalise on future opportunities.

RAS reported low cash burn of $1.23 million in the June quarter with a strong cash position at June 30 2022 of $10.77 million with which to fund continued growth.

“We remain focussed in our search for acquisitions and partnership opportunities that accelerate the global growth of the company through technology, speed to market or innovation,” he said.

“This search has, and continues to, yield exciting options which we are presently exploring.”

Strong product roll out

RAS also introduced a suite of new, innovative full-suite products led by wagering platform ‘Wagering–360’ and punter mobile app ‘EziBetta’.

Wagering 360, which is on track for release in Q2FY23, provides a feature-rich, fully hosted, wagering platform that includes all the bells and whistles for bookmakers seeking a complete Tier-1 style solution.

This includes Racing and Sports Trading and pricing Manager, data and enhanced content, as well as promotion from the Racing and Sports digital assets.

Innovative mobile app, EziBetta, which is due to launch in the September Quarter FY23, provides punters with a simple interface to generate sophisticated bets.

This article was developed in collaboration with RAS Technology, a Stockhead advertiser at the time of publishing.

This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.