New Zealand Market Grows in a Robust RegionPublished February 17, 2021 by Lee R
The APAC region is taking a leading role in industry recovery, with help from New Zealand.
The New Zealand market continues growing steadily, per December 2020 figures.
Profits increased for the month, and revenue rose 13%.
Local New Zealand authority's racing statuary body and sports betting operator reported increase in gross betting revenue to NZ$36.5m (US$26.2m), good for $6.5m above budget.
Turnover and Profits
December turnover was robust as well, closing $34.5m ahead of expectations at $224.5m.
December net profits for the operator increased $1.7m from December 2019 year-on-year to $16.2m ($4.4m above budget). Operating profit for Q4 was $13.1m above last year's $77.4m.
Drivers of Growth
Tab NZ attributed revenue and profit gains to the launch of the summer sports season in the region, including the New Zealand and Australian cricket team’s hoe season launch as well as the restart of the NBA National Basketball Association.
The top seven sporting events by turnover for December outside of horse-racing came from cricket, topped by the third T20 International meeting between New Zealand and Pakistan on 22 January at $555k.
Customer Retention and Spend
Customer base for December reached 97,000. December also saw racing codes garner $12.9m in distributions, as comprised of Tab NZ New Zealand market betting profit; offshore bookmaker commission fees; and betting duty repeal.
The operator also posted 6% year-on-year revenue gains for July, in the heart of the prolific summer season, reaching $369.6m.
Key Regional Contributor
As a major economic member of the Asia Pacific APAC region, New Zealand is enjoying dynamic adoption of new technologies to achieve leading projected CAGR in global Casino management system markets in coming years.
Leading Technological Specialisation
New Zealand is part of a regional movement to register high growth rates in the casino management system market, with tremendous regional growth taking place accordingly.
New casinos in APAC jurisdictions are benefiting from deployment of IT solution and systems, with New Zealand part of a region that in the post-pandemic period has become a hotbed of leading revenue-generating jurisdictions set to continue leading in coming years.
The greater potential of areas minimally stricken by Covid can bolster the Asia-Pacific region, with New Zealand participating in a revitalisation process borne from resilience to the impact of Covid, and participation in a highly liquid greater APAC region.