Global online gaming innovator surpasses 2021 KPIs and offers outlook for 2022
VANCOUVER, Jan. 24, 2022 /PRNewswire/ - Kings Entertainment Group Inc. (CSE: JKPT) ("Kings Entertainment" or the "Company"), parent company of global online gaming innovators LottoKings and WinTrillions, will debut on the Canadian Securities Exchange (the "CSE") today at the start of trading under the ticker "JKPT". Kings Entertainment is also pleased to share an update on the Company's operations and a view into its current and upcoming priorities for growth.
LottoKings and WinTrillions are the flagship brands of Kings Entertainment. As international online service providers for lottery, casino, and sportsbook gambling, the brands leverage their ability to acquire high potential players through renowned lottery offerings, then convert players into casino and sportsbook players. LottoKings and WinTrillions have attracted and retained millions of player sign-ups to date.
"As we look back at 2021, we were successful in building a solid foundation that will support significant expansion and position the Company to realize robust future growth," said Steve Budin, CEO of Kings Entertainment. "We performed well on our KPIs, successfully diversified into casino and enhanced our operations and product offerings. We'll leverage this success to accelerate our evolution through 2022."
Strategic Diversification
Kings Entertainment has evolved its focus from lottery only and is now focusing on revenue growth in the profitable online casino vertical, while continuing to grow its core online lottery operations. The Company has assembled a world-class casino offering utilizing a combination of Red Tiger and Oryx Gaming for its virtual games and Evolution Gaming for its live casino content. The combination of a world-class casino content platform and CRM-based offer programs cross-promoting casino content to targeted lottery users has produced extraordinary results.
Key Performance Indicators
The Kings Entertainment brands surpassed a number of Key Performance Indicators in 2021:
- Overall revenue increased by 10 per cent from the previous year1, despite a hold on all marketing activity
- Total casino revenue in 2021 was $1,110,000, a 43 per cent increase from $773,578 in 2020, and the cost of casino revenue in 2021 was $158,000, as compared to $69,309 in 20202
- Total Unique Active Casino Players increased by 48 per cent to 2,849, from 1,921
- Active lottery customers remained stable, with new customers balancing natural attrition
- New unique depositing customers increased by 9 per cent, from 13,225 to 14,424
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1 Pending audit |
Operational Enhancements
- New Chief Marketing Officer - the Company has appointed gaming industry expert James Dominique, previously of Lottoland, to the Chief Marketing Officer role. Mr. Dominique has been instrumental in developing and implementing the Company's new strategic direction
- CRM Platform - the Company has upgraded its CRM platform to Emarsys, enabling enhancing capabilities and increasing customer retention, while decreasing platform costs by 50 per cent
- Increased Lottery Ticket Prices - the Company was able to increase profitability across sales opportunities by increasing lottery ticket prices up to 20 per cent. This strategy allowed Kings Entertainment to offer significantly better discounts while maintaining margins
- Boosted Jackpots - Lottery players can now play their favourite lottery games, with a minimum jackpot of US$100 million at no additional cost, including boosted PowerBall and Megamillions jackpots. This newly created feature validates the Company's role as an innovator within the industry and adds excitement for players.
Outlook for 2022
Kings Entertainment is poised for significant growth in 2022, as the Company continues to execute on its core lottery strategy and accelerates the expansion of its global casino business. With a solid capital structure now in place and the resources to invest in market awareness and customer acquisition, Kings Entertainment is leveraging its robust lottery presence and strong international network to create innovative, appealing new products and enter new jurisdictions as a global leader.
The Company also announces that it has granted 924,000 incentive stock options to consultants. The incentive stock options have an exercise price of $0.50 per share, are valid for a 5-year period from the date of grant and are subject to regulatory approval.
About Kings Entertainment Group
Established in 2005, Kings Entertainment (CSE:JKPT) is the parent company of global lottery brands LottoKings and WinTrillions. As international online service providers for lottery, casino, and sportsbook gambling, these brands leverage their ability to acquire pre-qualified players through renowned lottery offerings, then convert players into highly-qualified casino and sportsbook players. LottoKings and WinTrillions have attracted and retained millions of player sign-ups.
Cautionary Statement Regarding Forward-Looking Information
This news release contains certain statements that may constitute forward-looking information under applicable securities laws. All statements, other than those of historical fact, which address activities, events, outcomes, results, developments, performance or achievements that the Company anticipates or expects may or will occur in the future (in whole or in part) should be considered forward-looking information. Such information may involve, but is not limited to, statements with respect to: listing of the Company's shares on the CSE; the Company's business and business plans; the Company's strategy and current focus on developing brands in the global online gaming market; the anticipated effect of the Company's listing; and global market opportunities in the online gaming space, including in respect of anticipated growth, progress of legalization in various jurisdictions and growth in other jurisdictions. Often, but not always, forward-looking information can be identified by the use of words such as "plans", "expects", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", or "believes" or variations (including negative variations) of such words and phrases, or statements formed in the future tense or indicating that certain actions, events or results "may", "could", "would", "might" or "will" (or other variations of the forgoing) be taken, occur, be achieved, or come to pass. Forward-looking information is based on currently available competitive, financial and economic data and operating plans, strategies or beliefs as of the date of this news release, but involve known and unknown risks, uncertainties, assumptions and other factors that may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking information. Such factors may be based on information currently available to the Company, including information obtained from third-party industry analysts and other third-party sources, and are based on management's current expectations or beliefs regarding future growth, results of operations, future capital (including the amount, nature and sources of funding thereof) and expenditures. Any and all forward-looking information contained in this press release is expressly qualified by this cautionary statement. Trading in the securities of the Company should be considered highly speculative.
Neither the Canadian Securities Exchange nor its regulation services provider accepts responsibility for the adequacy or accuracy of this news release.
SOURCE Kings Entertainment Group Inc.
