Betsson Starts 2024 with Record Revenue and Profits
Published: April 28, 2024 | Author: Ron Clarke
Betsson AB, a leading global online gaming company, announced its interim financial results for the first quarter of 2024, showcasing significant revenue growth and the highest operating income in the company’s history. Following a strong 2023, where Betsson reported a significant 22% increase in revenue to €948.2 million, the company continued its growth trajectory into the first quarter of 2024.
The group’s revenue for January to March rose by 12% to EUR 248.2 million, up from EUR 221.9 million in the corresponding period last year, with an organic growth rate of 25%. EBITDA also saw a substantial increase, rising 32% to EUR 71.6 million, while the EBITDA margin improved to 28.8% from 24.5%.
Operating income (EBIT) surged by 35% to EUR 57.9 million, with the EBIT margin strengthening from 19.4% to 23.3%. Net income for the quarter increased to EUR 42.8 million from EUR 36.6 million, corresponding to earnings per share of EUR 0.30, up from EUR 0.28.
Betsson’s casino segment performed exceptionally well, with revenue increasing by 19%. However, the sportsbook revenue slightly declined by 3%, with a sportsbook margin of 6.6%, down from 8.0% last year, reflecting a tougher competitive landscape, particularly in Latin America.
The company’s strategic focus on geographic diversification and growth-oriented initiatives has borne fruit. During the quarter, Betsson made significant strides in expanding its market presence. Already active in Italy through its specific brand, StarCasino, Betsson expanded its activity in the market through the launch of its flagship brand, Betsson, in Italy in March 2024 and collaborated with football icon Francesco Totti. Additionally, the company commenced operations in Cordoba, Argentina, and launched a new online casino offering in Belgium through its acquisition of betFIRST.
On the acquisition front, Betsson acquired a gaming operator licensed in the Netherlands and a game studio that develops casino games, signaling further expansion and integration into new markets pending regulatory approvals.
Betsson also reiterated its commitment to responsible gambling by sponsoring the Consumer Protection Zone at the ICE gaming fair in London for a second consecutive year, underlining its focus on sustainability and consumer protection.
Looking ahead, Betsson is gearing up for a vibrant summer with the final rounds of the European football leagues and upcoming tournaments like UEFA Euro 2024 and Copa America. The company is poised to leverage its enhanced offerings to meet the high anticipation and activity expected during these major events.
The company’s CEO, Pontus Lindwall, highlighted the quarter as a period of continued positive development, high customer activity, and record-setting financial performance. Despite a challenging economic environment marked by a significant devaluation of the Argentine peso, Betsson achieved a robust organic revenue growth.
Betsson’s strong performance in the first quarter sets a positive tone for the year, as it continues to navigate challenges and seize opportunities in the dynamic online gaming market.
