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  • Q4 2023: Betsson EBITDA rises 40% despite drop in sportsbook revenue
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Betsson has reported a 14% year-on-year revenue increase to €251.9m for Q4 2023, 36% of which was organic. 

EBITDA reached €71.9, marking a 40% year-in-year increase. This resulted in an EBITDA margin of 28.6%, up from 23.2% the previous year.

Casino revenue increased 25.1% year-on-year and reached €182.8m. 

Sportsbook revenue, however, saw a year-on-year decrease of 5.2% to €67m in Q4 2023.

Betsson attributed this decline primarily to a lower sportsbook margin due to favourable football results, as well as a tough comparative period, which included the football World Cup. 

The sportsbook margin in Q4 2023 was 6.2%. The eight-quarter rolling average margin was 7.6%.

Active customers during the quarter also decreased by 5.6% to to 1.3 million. Customer deposits, meanwhile, rose by 27% year-on-year to €1.4m.

Geographical breakdown

Revenue in the Nordics reached €46.4m, marking a 12.6% decrease, attributed to lower activity in Sweden and Finland, while Denmark saw a revenue increase. 

Revenue from Western Europe was €41.7m, up by 61.8%, with Italy reporting record-high revenue in Q4 and Belgium seeing an increase despite low sportsbook margins. 

However, Germany experienced a decline in revenue due to ongoing market restrictions. 

Revenue from Central & Eastern Europe and Central Asia (CEECA) was €106.8m, an increase of 25.2%, with Greece reporting all-time high revenue in Q4 2023.

In Latin America, Betsson grew only marginally by 1.7% to €53.3m. Argentina and Colombia reported growth, while revenue declined in Peru.

For full-year 2023, Betsson generated revenue of €948.2m, an increase of 22%. 

EBITDA reached €262.7m, an increase of 52%, with a margin of 27.7%.

CEO comment

Betsson AB CEO Pontus Lindwall said: “A new record year for Betsson ended with continued high customer activity and record-strong figures in the fourth quarter.

“The high customer activity continued during the fourth quarter with new record levels in customer deposits and gaming turnover in both casino and sports betting.”

He added that the football results continued to be favourable for players with favourites winning and plenty of goals, which led to the quarter’s sportsbook margin of 6.2%, which represented the “lowest reading for a single quarter in the past two years.”

“Our vision is to offer the best customer experience in the gaming industry and an important feature of this is that we always offer competitive odds and chances for our customers to win,” he added.

“This simply means that sometimes players win a bit more and the sportsbook margin varies from quarter to quarter, depending on the sports results.”

Outlook

Lindwall emphasised that 2024 will be a pivotal year for football, with both the European Championship and Copa America taking place during the summer months.

In the first quarter of 2024, the average daily revenue up to and including 11 February showed a 5.9% increase compared to the entire first quarter of 2023. 

Adjusted for currency effects and acquisitions, this figure was 16.3% higher. 

However, Betsson noted that during this period, the sportsbook margin was again “significantly lower” than the average margin over the last eight quarters.

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