PointsBet has guided to a 16% year-on-year decline in revenue for the first half of its 2027 financial year as VIP compliance measures weighed on its Australian business.
For the six months to 30 September, revenue is set to reach approximately A$113m. This, PointsBet said in a trading update, would fall short of the $135m generated in the corresponding period last year.
Analysing the expected decline, PointsBet said this reflected a continuation of two stand-out themes identified in FY26 – both of which were related to its Australian operations.
First, the group noted reduced activity among its highest-value Australian players following proactive compliance measures.
PointsBet revealed this had resulted in sustained double-digit declines in turnover and revenue among its highest-value customers compared with the prior corresponding period.
“We believe these have been important decisions to make in the context of an increasingly complex regulatory environment in Australia,” the operator said.
Second, the group highlighted its decision to accelerate growth among mass-market sports customers.
While this delivered gains in active customers and turnover, adverse sports results – particularly in August and September, primarily due to AFL outcomes – weighed on net win margins.
Normalised EBITDA loss set to widen
Alongside a decline in revenue, PointsBet also issued an earnings warning for the first half of the year.
The operator said normalised EBITDA for the six-month period will likely fall between a loss of $6m and $8m. This would be around double the $3.3m loss reported for the first half of FY26.
PointsBet is due to publish its H1 FY27 results in full on 30 October.
The negative outlook for the half comes after declines were also reported during FY26.
For the full year, revenue was down from $188.4m to $186.6m, while normalised EBITDA came in at a loss of $0.8m compared to a $1.2m profit in the previous year.
The FY26 reporting period followed a major ownership change. MIXI Australia Pty Ltd, a subsidiary of MIXI Inc, acquired a 66.4% controlling stake in PointsBet in September 2025.
