Cost cutting helps push Kindred’s net profit up 22.7% in Q1 as North American exit, possible sale to FDJ approach

Cost cutting helps push Kindred’s net profit up 22.7% in Q1 as North American exit, possible sale to FDJ approach

Article brief provided by iGaming Business
  • Robert Fletcher, iGaming Business
April 25, 2024 7:35 PM

Kindred Group reported a 22.7% increase in net profit to £31.4m ($39.1m) during its first quarter, helped by cost reduction initiatives across several areas of the business.

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Revenue at Kindred for the three months to 31 March was only marginally higher year-on-year. The £307.7m reported for Q1 was 0.4% ahead of £306.4m in 2023.

However, lower spending allowed net profit to increase during the period. At the end of last year, Kindred announced it will fully exit North America by the end of Q2 2024 as part of a strategic review. It is also cutting 300 jobs across the business.

At the time, Kindred said such a move will allow for the re-allocation of financial and tech resources to existing core markets.