Last close As at 05/08/2026
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Research: Consumer
Aspire Global (AG) reported a strong FY20 and a good start to FY21, with January trading volumes 34% ahead of the average for Q120. FY20 EBITDA (at a margin of 16.7%) exceeded consensus expectations. Strong revenue growth in B2B Core was complemented by record performances from recent acquisitions Pariplay (B2B Games) and BtoBet (B2B Sports). Across B2B (68% of group total) there is a consistent message that new industry-leading partners (eg Betfair, William Hill and Rush Street Interactive) and increasing geographic coverage (the US, Colombia and Russia) are driving organic growth and laying the foundations for future growth in immature markets. AG’s strong free cash flow is reflected in the year-end cash position ex-player deposits of €22.7m (FY19: €23.5m) despite outflows for M&A (€17.7m) and internal investment (€8.7m). The April 2021 €27.5m bond maturity is funded by one-year €10m bridging loans from shareholders and cash in hand ahead of the March 2022 loan receipt from a related company.
Aspire Global |
Strong new customer and geographic pipeline
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Travel & leisure |
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19 February 2021 |
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Aspire Global is a research client of Edison Investment Research Limited |
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Aspire Global (AG) reported a strong FY20 and a good start to FY21, with January trading volumes 34% ahead of the average for Q120. FY20 EBITDA (at a margin of 16.7%) exceeded consensus expectations. Strong revenue growth in B2B Core was complemented by record performances from recent acquisitions Pariplay (B2B Games) and BtoBet (B2B Sports). Across B2B (68% of group total) there is a consistent message that new industry-leading partners (eg Betfair, William Hill and Rush Street Interactive) and increasing geographic coverage (the US, Colombia and Russia) are driving organic growth and laying the foundations for future growth in immature markets. AG’s strong free cash flow is reflected in the year-end cash position ex-player deposits of €22.7m (FY19: €23.5m) despite outflows for M&A (€17.7m) and internal investment (€8.7m). The April 2021 €27.5m bond maturity is funded by one-year €10m bridging loans from shareholders and cash in hand ahead of the March 2022 loan receipt from a related company.
Q420: Broad-based record results
AG’s FY20 EBITDA of €27.1m, up c 25%, was ahead of consensus expectations of €26.0m, thanks partly to the success of higher-margin Games and Sports and intra-group synergies. Net revenue of €156.8m (gross revenue €161.9m), ahead by 23%, was broadly in line. Q420 organic gross revenue growth of 30.8% to €44.4m was AG’s strongest quarterly increase in FY20. The maturing of new partner brands, as well as high investment in IT infrastructure, continued to drive B2B Core’s 27% net revenue growth in Q420. Pariplay’s Q420 record-high revenue and EBITDA were due to growth in the number of proprietary games and operators. BtoBet’s outlook is promising with the addition of major new clients ahead of full integration being completed. Following weakness due to uncertainty from regulation, B2C returned to robust revenue growth of 30% in Q420.
FY21: Consensus EBITDA below guidance
The consensus EBITDA estimate for FY21 of €30.5m compares with management’s FY21 target of €32.0m, a margin of 16% (FY20:16.7%) on gross revenue of €200m. Achieving this would imply year-on-year growth of c 12% from FY20’s pro forma EBITDA of €28.5m, and compares with AG’s EBITDA CAGR of c 24% since FY16, generated mostly from organic growth with complementary M&A to expand the product offer and geographic coverage.
Valuation: EV/EBITDA 9.8x for FY21
The recent share price performance produces an FY21e EV/EBITDA multiple of 9.8x, below multiples of other platform/content providers and in line with operators.
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Consensus estimates
Source: Refinitiv, company data |
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Research: Real Estate
Strong portfolio growth continues, providing increased diversification and economies of scale. The proceeds of October’s highly successful £200m equity offering were swiftly deployed by January and including subsequent investment are now effectively fully deployed, including leverage. With leading supermarket operators providing a strong tenant covenant and 100% of store rents received in advance as expected, there has been no pandemic interruption to inflation-linked dividend growth.