Sports betting boosts mybet H1 revenues
Double-digit sportsbook revenue growth offsets decline in casino and poker as digital stakes remain flat
German operator mybet recorded a marginal increase in H1 2014 revenues as a strong sportsbook performance offset a double-digit decline in casino and poker revenues.
Group revenues for the six months ended 30 June 2014 were 34m, up 0.4% compared to the same period last year, while EBITDA also increased to 707,000.
The Schleswig-Holstein-based operator’s sports betting business recorded a 17% rise in revenues to 19.9m as the company continued to maintain a watchful eye on the potential issuance of German sports licences by the Hessian Ministry of the Interior.
The World Cup was a significant growth driver for the firm after betting stakes increased 5% year-on-year to 94.2m, helping to counter a 12% year-on-year fall in casino and poker revenues to 10.9m.
Horse racing revenue jumped by almost a third (31%) from 2.4m last year to 3.1m in H1 2014.
However, digital sports betting stakes remained flat at 51.5m compared to 51.6m in H1 2013, while offline stakes grew 13% to 42.8m.
Following the results, the company said it would continue to work towards the previously announced business “turnaround”.
“The first important steps were already taken in the first half of 2014 and are reflected both in the increase in revenue and also in profitability in the first half year,” the statement added.
Yesterday the company announced it had divested all its shares in its two Spanish businesses Digidis S.L. and Digidis S.A in an effort to “eliminate potential risks” and “ensure greater stability within the group”.
The news followed plans announced in May for mybet to also sell the loss-making Italian arm of the firm after it posted an EBIT loss of 209,000 in Q1.
“Business for the Italian subsidiary mybet Italia did not develop as hoped in the first quarter of 2014,” the company said at the time.