Sportpesa reveals 2018 revenue as it fights back

By , K24 Digital
On Mon, 15 Jul, 2019 13:26 | < 1 min read
SportPesa chief executive Ronald Karauri
SportPesa chief executive Ronald Karauri
SportPesa chief executive Ronald Karauri

By Joel Muinde

Kenya's biggest sports betting firm, SportPesa, says it made Sh20 billion last year and remitted Sh6.4 billion in taxes to the government.

The firm made the revelation as it fights back to win the hearts and minds of Kenyans.

The firm took out full-page advertisements on the People Daily in a move to show Kenyans that it is tax compliant.

SportPesa's charm offensive comes amid government crackdown on betting firms which the state accuses of not meeting their obligations to the taxman.

On Saturday, President Uhuru Kenyatta vowed that the government will not backtrack on reforms his administration is undertaking to streamline the gambling industry.

The firm, which also sponsors English Premier League side Everton, says it spent Sh1.54 billion on social-economic investments with a huge chunk of it going to football (Sh693 million) and rugby (Sh600 million).

“SportPesa has been fully compliant with all tax and legal requirements in Kenya…We are committed to dialogue with all relevant stakeholders, with the aim of developing a mutually beneficial solution that will complement the government’s development agenda, as well as provide a stable business environment,” said Mr Ronald Karauri, who is the chief executive officer of the betting firm.

Mr Karauri released the statement on Saturday after the SportPesa’s deposit paybill number was “stopped” on orders from government over tax-compliance issues.

The Interior Cabinet Secretary Fred Matiang'i ordered the crackdown on betting and gambling firms in April following reports that Kenya leads the continent in betting among the youth.

 Dr Matiang’I claimed that 76 percent of youth in the country are involved in betting and gambling, with majority of them low-income earners.