Casino and sportsbook drive Betsson Q3 revenues up 14%
Swedish operator builds on impressive Q2 as switch to common technology platform begins to bear fruit
Betsson has continued its impressive year-on-year growth as Q3 revenues increased 14% compared to the same period in 2012, driven by strong results from casino and sports betting.
The Swedish operator’s revenues rose to SEK603.4m (£58.8m) while gross profit also grew 14%, rising to SEK502.5m (£48.9m).
Profits in casino and sportsbook increased by 4% and 11% respectively, while poker stayed true to industry norms and fell by 4%. Casino products are now responsible for 65.7% of gross profits at Betsson, with sportsbook “ boosted by an operating margin of 6.6% – the second largest vertical at 28%.
An increase of 10% in marketing spend to SEK167.5m (£16.3m) also contributed towards a rise in customer deposits across all Betsson products, the figure increasing 15% to SEK2.02bn (£197.6m).
Today’s results follow a 19% year-on-year jump in revenues posted in the previous quarter following the successful migration of its products onto a common platform.
Total B2C revenues climbed 14% as Betsson increased its market share most notably in the Nordics, which now account for 85% of the company’s customer-facing business. Non-Nordic European nations now responsible for 14%.
Meanwhile the operator revealed it has cancelled its co-operation with Arsenal Football Club, citing a lack of profitability, but claimed other activities in the UK market continue to grow.
Betsson’s B2B business revenues fell 13% to SEK104.9m (£10.2m), reflecting the transfer of its Automaten brands to the B2C business. Adjusted for the move, Betsson’s B2B arm recorded growth of 16%.