Casino revenue surged by 16%, while sportsbook revenue saw a 13% rise, supported by an improved sportsbook margin of 8.6%, up from 8.2%. T
Betsson has announced its financial results for the second quarter of 2024, revealing a notable 15% increase in revenue compared to the same period last year. The group’s revenue for the quarter reached €271.5 million ($295.6 million), with an impressive 38% of this growth being organic.
Casino revenue surged by 16%, while sportsbook revenue saw a 13% rise, supported by an improved sportsbook margin of 8.6%, up from 8.2%. The company’s EBITDA for the quarter stood at €77.6 million, marking a 15% year-on-year increase, with the EBITDA margin slightly higher at 28.6%, compared to 28.5% last year. Operating income (EBIT) climbed by 18% to €64.1 million, and the EBIT margin improved to 23.6% from 23.0%.
Despite these positive trends, net income fell by 5% to €44.4 million, translating to €0.33 per share. Operating cash flow also decreased by 15% to €75.8 million. However, Betsson’s net debt showed a significant improvement, dropping by 29%, and the number of active customers grew by 25% to 1.4 million.
For the first half of 2024, Betsson reported a 13% increase in group revenue, reaching €519.7 million, with organic growth contributing 32%. EBITDA for this period rose by 22% to €149.2 million, with the EBITDA margin increasing to 28.7% from last year’s 26.6%. Operating income (EBIT) saw a 25% rise to €122.0 million, with the EBIT margin improving to 23.5% from 21.3%. Net income for the first half increased by 4% to €87.2 million, or €0.63 per share. Despite an 8% decline in operating cash flow to €125.8 million, the AGM approved a dividend to shareholders of €88.5 million, corresponding to €0.645 per share, with the first installment distributed in June.
Betsson’s CEO, Pontus Lindwall, commented on the results, stating:
“The second quarter of 2024 meant continued high growth and strengthened profitability with new records in both revenue and operating income for Betsson. Revenue increased by 15% and operating income increased by 18%, while the operating margin strengthened to 23.6%. This was our tenth consecutive quarter with increasing operating income. Organic revenue growth was 38%, primarily driven by the B2C operations.”
Lindwall credited this growth to high customer activity during events such as the UEFA and Copa America in June. He noted that the number of active customers increased by 25% and deposits grew by 15%, while gross gaming turnover rose by 7% for casinos and 17% for sports betting compared to the same quarter last year.
The improved operating margin and operating income were achieved despite an increased proportion of revenue subject to local gaming taxes. Revenue from locally regulated markets was 55%, including Peru, where local gaming tax was accrued throughout the second quarter.
Betsson has secured its first local licenses in Peru for the Betsson and Betsafe brands and anticipates additional licenses for the Inkabet brand. In June, Betsson announced a partnership agreement with Serie A champions Inter Milan, featuring the Betsson.sport brand on the team’s jerseys for the next four years.
Additionally, Betsson received an AAA rating from Morgan Stanley Capital International (MSCI) ESG Ratings in June, an upgrade from the previous AA level, recognizing its efforts in environmental, social, and governance matters.