Betsson Continues Record Breaking Results For Q3

Betsson has reported a record-breaking quarter with impressive revenue and net profit figures. The company’s Q3 revenue reached €237.6m, surpassing the previous record set in Q2. This marks the third consecutive quarter of record revenue for Betsson. With a focus on both sports betting and casino businesses, Betsson experienced significant growth, particularly in the casino sector. CEO and President Pontus Lindwall attributes this success to the strong performance of the casino segment and the recent acquisition of BetFirst Group, which contributed to the company’s overall earnings before interest and tax (EBIT) reaching a new high.

With a robust performance in Q3, Betsson’s casino business emerged as the primary driver of growth, accounting for nearly three-quarters of the company’s revenue. The casino segment recorded a record-breaking revenue of €172.1m during Q3, aided by the release of 327 new casino games, including 24 exclusive titles available only through Betsson. Mobile activity played a significant role in the casino’s success, contributing €144.9m or 84% of the total casino revenue in Q3. This impressive growth in the casino business has propelled Betsson’s overall financial development and supported the company’s continuous sequential growth for the seventh consecutive quarter.

While the casino segment took center stage, Betsson also experienced positive growth in its sports betting business. With a year-on-year revenue increase of 2.4%, the sports betting revenue for Q3 reached €63.3m. Gross turnover in sports betting also saw a substantial climb of 23.7% to €1.31bn. The launch of Betsson’s sportsbook solution with Bethard in September played a pivotal role in augmenting the revenue figures. Additionally, Betsson’s acquisition of BetFirst Group contributed to the overall success of the sports betting business and further strengthened the company’s offering.

Central and Eastern Europe and Central Asia (CEECA) remain Betsson’s core markets, with revenue in the region increasing by an impressive 23.0% to €97.0m. This growth was primarily driven by successful operations in Croatia and Greece, along with positive outcomes in Georgia, Latvia, and Estonia. Furthermore, Betsson’s acquisition of a new online casino license in Serbia during Q3 is expected to support further growth in the region. In Latin America, revenue grew by 33.2% to €51.7m, attributed to strong performances in Argentina and Colombia. However, Nordics revenue declined by 14.3% to €46.1m due to decreases in both Sweden and Finland. On the other hand, Western Europe revenue witnessed a significant increase of 56.9% to €39.2m, primarily driven by growth in Italy and the impact of the BetFirst acquisition in Belgium. Betsson’s recent acquisition of an online sports betting license in France is expected to further boost revenue in the region. While revenue from the rest of the world amounted to €3.6m, slightly lower than the previous year’s Q3 figures.

Betsson’s Q3 operating costs increased by 5.5% to €100.6m, with personnel expenses accounting for the majority of the outgoing funds at €34.8m. Despite this, the company achieved remarkable financial growth, reporting an EBIT of €56.0m, a 45.8% rise from the previous year. After deducting finance costs of €5.2m, the pre-tax profit reached €50.8m, a substantial increase of 44.7%. After paying €4.6m in income tax, Betsson generated a net profit of €46.2m in Q3, marking a significant rise of 41.7%. Additionally, the company’s EBITDA showed an impressive increase of 41.8% to €68.9m.

Betsson’s year-to-date performance showcases consistent growth, with revenue for the nine months up to September reaching €696.3m, a 25.1% increase compared to the same period last year. The casino business has seen exceptional growth, with revenue reaching €489.3m, a remarkable 32.8% increase. The sports betting segment also experienced positive growth, with revenue rising by 11.2% to €200.0m. Operating expenses increased by 16.7% to €313.1m, leaving €153.5m in EBIT. After deducting finance costs of €9.6m, the pre-tax profit amounted to €143.9m, showing a significant rise of 62.1%. After paying €14.1m in taxes, Betsson achieved a net profit of €129.7m, an impressive increase of 58.0%. The operator’s EBITDA climbed 57.4% to €190.8m for the nine-month period.