Online gaming company Betsson has released record results for the third quarter of 2023, also marking the seventh quarter of sequential growth. The statistics show an increase in most financial metrics, with the casino vertical standing out.
The group’s total revenue reached €237.6 million ($250.4 million), a jump of 19% compared to the same period last year. This growth was led by casino, which saw a 27% increase in revenue, contributing €172.1 million ($181.2 million), or 72% of the total. Another key factor was the growth in active customers, which increased by 17% to 1,237,238.
For its part, sports betting revenue grew by only 2%, impacted by unfavorable results in European championships “negatively affected by many victories by favorites and games with many goals during the start of the European soccer leagues,” totaling €63.3 million ($66.7 million). Sports wagering accounted for 27% of the company’s turnover in Q3.
Pontus Lindwall, CEO of Betsson commented: “Betsson’s third quarter 2023 featured continued high customer activity, strong financial development and further investments in product and new markets.”
Pontus Lindwall
Other products, such as bingo and poker, earned the group €2.1 million ($2.2 million). Additionally, the group’s EBITDA reached €68.9 million ($72.6 million), an increase of 42% compared to 2022, with a margin of 29%, slightly higher than last year’s 24%. Operating profit was €56 million ($59 million), 46% higher than in Q3 of the previous year, with a margin of 23.6%.
According to the company, one of the factors responsible for the positive results was the expansion into new markets, including some in Western Europe, which improved by 56.9% to €39.2 million ($41.3 million). The acquisition of betFIRST in Belgium, solid casino results and the market launch in Serbia were some of the highlights that helped the company consolidate its presence in the European scene.
“The revenue and ebit, which include the acquisition of Betfirst, were the highest ever for Betsson in a single quarter and mark the seventh quarter in a row with sequential growth,” pointed out Lindwall.
However, there were challenges in the Nordic countries, which account for 19% of revenue, where revenue fell by 14.3% to €46.1 million ($48.5 million). Sweden and Finland saw declines, while Denmark witnessed growth with the launch of the Betsson brand in the country.
Lindwall stressed the importance of geographical diversification and a solid balance sheet, as well as highlighting the company’s first global advertising campaign, entitled “A bet makes a difference”. The campaign is part of the company’s plan to establish Betsson as the group’s main global brand.
He also expressed optimism about the coming months, citing a strong start to the fourth quarter, with average daily revenue showing an increase of 11.9% on the previous year.
“I look forward with confidence to the final sprint of the year. Geographical diversification, a solid balance sheet and strong cash flows create good conditions for continued investments in profitable growth to deliver long-term value creation for our shareholders,” he concluded.
Original article: https://www.yogonet.com/international/news/2023/10/26/69377-betsson-announces-record-results-for-q3-boosted-by-casino-performance-and-new-users
