Q3 Financial Highlights: Revenue, Profit, and Customer Activity Surge
Betsson reported a strong performance in Q3 2024, with revenue reaching €280.1 million ($303.2 million), marking an 18% increase year-on-year. Casino revenue soared to €209.9 million, a 22% jump, while sportsbook revenue saw an 8% rise, reaching €68.3 million. The company experienced high activity across Latin America, Western Europe, and Central and Eastern Europe and Central Asia, with 58% of revenue coming from locally regulated markets. Additionally, active customers increased by 10%, reaching 1.4 million during the quarter.
Key Financial Metrics
- Gross Profit: Up to €178.7 million from €156.6 million in Q3 2023.
- EBITDA: Increased by 17%, totaling €80.3 million.
- Operating Income: Rose by 15% to €64.5 million.
Strategic Moves Fueling Growth
The quarter saw notable developments for Betsson, including partnerships and acquisitions:
- Sponsorships: Betsson became the front-of-shirt sponsor for Serie A champions Inter and the official betting partner for the Nordea Open.
- Acquisitions: The acquisition of Sporting Solutions from La Française des Jeux (FDJ) strengthened Betsson’s strategic portfolio.
Year-to-Date Growth: January to September 2024
For the nine-month period ending September 2024, Betsson’s group revenue rose 15% to €799.8 million, driven particularly by a 19% increase in casino revenue. EBITDA surged by 20% to €229.5 million, while operating income experienced a 21% rise, totaling €186.5 million. Gross profit over this period reached €519.5 million, up from €466.6 million last year.
Good to Know: Discontinuation of B2C Operations in the US
Betsson wrapped up its B2C operations in the US at the end of September, a strategic pivot that aligns with its focus on other high-growth markets.
CEO Insights: Pontus Lindwall on Betsson’s Success
Betsson President and CEO Pontus Lindwall reflected on the quarter’s strong results:
“The high customer activity continued during the third quarter with new record levels in customer deposits and gaming turnover. Yet again, Betsson reports quarterly records in revenue and EBIT, which means the eleventh quarter in a row with sequential growth on the EBIT level.”
Lindwall noted that product and technology advancements contributed to success, including platform improvements, new casino games, enhanced betbuilder options, and new features promoting cross-selling between sports betting and casino.
A Strong Start to Q4
With Q4 off to a promising start, Betsson has already reported a 14% increase in daily revenue compared to the same period last year. Lindwall remains optimistic about Q4, traditionally the peak quarter for customer activity, forecasting a strong finish to 2024.