SPS Sportsoft Limited, is a company that offers technology support services to Kenya’s popular gambling brand, SportPesa. The company is also the parent entity for SportPesa. Last year, the company overturned its 2020 loss and recorded a profit of £170,433 (Sh24.6 million) indicating acquisition of new business.
The company recorded a huge loss of £4.1 million (Sh595 million) in 2020.
This is because Kenya-based Pevans East Africa, the company’s single largest client, ceased operations. Pevans was accused of not paying taxes to the government which led to the confiscation of their license.
Upon its launch in 2014, Pevans recorded a lot of profit which attracted the government’s denigration. Moreso, the geometrical progression of gambling addiction in the country was another reason why the government put a break in its stride.
SPS revenue skyrocketed fourfold last year to £6.1 million (Sh887 million) from £1.48 million (Sh214 million) in 2020. This was reported in regulatory filings in the UK. This success can be associated with the services rendered to clients by the company.
In the past, Pevans accounted for 96 percent of SPS revenue. SPS, its parent firm Sportpesa Global Holdings Limited (SPGHL) and Pevans, which used to trade under the SportPesa brand, have common shareholders including Kenyan and Bulgarian businessmen.
Other SPS clients include SPGHL’s subsidiaries trading under the SportPesa brand in Tanzania and South Africa.
The company said it will utilize loans from its shareholders to continue to keep it head above waters.
“The company will have sufficient funds, through organic cash flows from operating activities and in downside cases funding from its ultimate parent company, SPGHL which in turn will obtain support from its shareholders, to meet its liabilities as they fall due for that period,” SPS said.