Betsson Publishes Interim Report for Q2 2023

Betsson AB has published its interim report for the second quarter of 2023.

Highlights

• Group revenue was EUR 236.8 (186.3) million, an increase of 27%. Organic increase of 43%.
• Casino revenue increased by 35%. Sportsbook revenue increased by 13% and the sportsbook margin was 8.2% (8.3%).
• EBITDA was EUR 67.6 (39.3) million, an increase of 72%. The EBITDA margin was 28.5% (21.1%).
• Operating income (EBIT) was EUR 54.5 (29.2) million, an increase of 87%. The EBIT margin was 23.0% (15.7%).
• Net income was EUR 46.9 (28.6) million, corresponding to EUR 0.37 (0.21) per share.
• Operating cash flow was EUR 89.2 (37.8) million.
• Net debt was EUR -138.8 (-19.8) million.
• Active customers decreased by 10% to 1,119,803 (1,246,719).
• Acquisition of the Belgian B2C operator betFIRST.

CEO Comments

“I am pleased to look back at another record quarter for Betsson with continued high customer activity and strong financial performance. During the second quarter of 2023, revenue increased by 27 percent and operating profit (EBIT) by 87 percent, compared to the corresponding quarter last year. New revenue records were set in both B2C and B2B. The EBIT margin increased to 23.0 (15.7) percent.

“Betsson’s long history of profitable growth is based on diversified revenues, both in terms of products and geographic markets. As before, the business generates strong cash flows, and the robust balance sheet constantly facilitates new growth initiatives. It is the mix of investments in new markets, organically and via acquisitions, that has contributed to the good financial performance over time. The geographical diversification continues to serve Betsson well and revenues increased in all regions during the quarter. In particular, Central and Eastern Europe and Central Asia (CEECA) continued to show high growth.

“In June, the leading Belgian sports betting operator betFIRST was acquired and at the same time a new strategic partnership was entered into with the publicly listed French casino operator Groupe Partouche to offer online casino games in some regulated markets, with Belgium being the first country for this collaboration. These strategic initiatives together enable a competitive offering in sports betting and casino for the Belgian market. The investment in Belgium resonates well with Betsson’s ambition to deliver long-term profitable growth.

“In June, an important sponsorship was entered into with the long-standing Argentinian football club Boca Juniors, previously home to perhaps the greatest player ever in football history, Diego Armando Maradona. The sponsorship, one of the largest ever for Betsson, means that the club’s iconic match shirt will feature the Betsson logo during local and international matches until the end of 2024. The collaboration with Boca Juniors strengthens Betsson’s brand and rapid expansion in Argentina and throughout Latin America, and we will be following the team’s development with excitement together with fans and customers.

“We look forward with confidence to the second half of the year, with continued investments into geographic expansion and constant further development of Betsson’s offering to future-proof our competitiveness.”