Stockholm-listed online sports betting group Betsson AB has recovered from a disappointing Q2 2016 performance, posting a 9% increase in corporate revenues to SEK 1.06 billion (€110 million) for its Q3 2016 corporate performance (period ending 30 September).
Presenting its Q3 update, Betsson governance detailed top-line metric growth across all its core verticals, as the operator recorded a period operating income of SEK 272 million (€28 million).
Betsson governance was pleased with the firm’s marked improvements during the period, despite being negatively affected by exchange rate fluctuations of circa SEK 7.1 million impacting period financial reporting.
Detailing performance drivers, Betsson governance reported an 11% increase in its casino divisions revenues to SEK 731 million (Q3 2015: SEK 656 million) representing 69% of combined group revenues.
Casino growth would be supported by improved sports betting performance aided by this summer’s UEFA Euro 2016, with Betsson sportsbook brands hitting combined revenues of SEK 300 million (Q3 2015: SEK 276 million).
Year-to-date Betsson AB has recorded a 12% gain in group revenues to SEK 2.99 billion (Q1-Q3 2015: SEK 2.6 billion). However, margin impacts and severe exchange rate fluctuations have hindered the group operating income to SEK 681 million (Q1-Q3 2015: SEK 712 million)
Commenting on his firm’s Q3 2016 performance Ulrik Bengtsson, CEO Betsson AB stated
“The strong performance in the third quarter shows that the challenges we had in the second quarter was of a temporary nature. The investments in Betsson’s Casino and Sportsbook products has driven the revenue growth during the quarter where for example the Nordic region grew by 22 percent. Investments in these products will continue in the coming quarters. The scalability of the business model enabled the operating margin to return to historically strong levels.”