Betsson AB has once again shattered its own records in the third quarter of 2024, cementing its position as an industry leader with exceptional financial performance. Revenue increased by 18 percent compared to the same period in 2023, reaching €280.1 million. This growth was driven by high customer activity, with deposits rising 20 percent year-on-year to €1.48 billion and active customers increasing by 10 percent to 1.36 million.
Revenue and earnings growth in Q3
Betsson’s success is noticeable in its EBITDA growth of 17 percent, reaching €80.3 million, while the EBITDA margin remained solid at 28.7 percent. “Yet again, Betsson reports quarterly records in revenue and EBIT,” Betsson CEO and president Pontus Lindwall said. “This means the 11th quarter in a row with sequential growth on the EBIT level.”
Operating income (EBIT) climbed to €64.5 million, marking a 15 percent rise. The EBIT margin held steady at 23 percent, demonstrating the company’s operational efficiency. While net income dipped slightly by 6 percent, earnings per share still amounted to €0.31, highlighting sustained profitability.
“Growth was broad based with sustained high activity in the regions Latin America, Western Europe and Central and Eastern Europe and Central Asia (CEECA),” Lindwall said. “A lot of preparatory work was done before this summer’s major football tournaments, so I am particularly pleased to see the 100 percent uptime for the sportsbook during all the matches in both the Euros and Copa America,” Lindwall said. His confidence reflects Betsson’s broad-based growth across key markets and product offerings, which contributed significantly to the company’s overall performance in Q3. The share of revenue from locally regulated markets increased, contributing 58 percent of total revenue in Q3, up from 45 percent the previous year.
Casino and sportsbook segments show robust performance
Betsson’s casino segment experienced notable growth, with casino revenue rising by 22 percent, while sportsbook revenue increased by 8 percent. The sportsbook margin remained consistent at 7.4 percent. Sportsbook turnover also hit €1.55 billion, a 19 percent increase year-on-year, showcasing the continued popularity of sports betting among Betsson’s customers.
The company is preparing for future growth, including the impending regulation of the Brazilian market, expected to launch in January 2025. Betsson has already applied for a local licence, recognising the potential of this large market despite the expected competition. Lindwall emphasised the importance of carefully balancing marketing investments to maximise returns.
Source: Betsson AB 2024/Q3 interim report January – September 2024
Strategic acquisitions and sponsorships strengthen Betsson’s position
Another key highlight of the quarter was Betsson’s acquisition of Sporting Solutions, a long-term provider of sports betting risk management services. This will enhance its sportsbook capabilities, offering faster odds setting, improved risk management, and increased scalability.
On the technology front, Betsson continues to develop its platform, releasing new casino games and expanding its sports betting offerings. Betsson has introduced new features to boost cross-selling between sports betting and casino, further enhancing the customer experience.
Betsson’s sponsorship deals also strengthened its brand presence during the quarter. The company secured its first jersey sponsorship in the Greek top football league with Crete FC and extended its deal with AEK Betsson BC, a prominent basketball club in Greece. Additionally, Betsson sponsored the ATP Swedish Open in Båstad, where tennis legend Rafael Nadal returned to the final for what may have been his last ATP tournament.
Betsson’s solid cash flow and financial stability were further strengthened by a favourable bond refinancing, reflecting the company’s robust market standing.
CEO Lindwall confident about continued success in Q4
Looking ahead, the final quarter of the year is traditionally a strong one for Betsson, and Lindwall remains optimistic about closing 2024 on a high note. “The fourth quarter is off to a positive start with 14 percent higher daily revenue than the average for the full fourth quarter last year,” Lindwall added. “Hence, there is reason to feel confidence about the last quarter of the year, which is usually also the seasonally strongest quarter for customer activity.”
With strategic investments and a confident outlook for the next quarter, Betsson is well-positioned for continued growth and success heading into 2025.
You can find the Betsson reports and presentations here.
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