Betsson Sets New Records in 2023, Eyes Brazilian and Peruvian Online Gaming Markets
In an unprecedented financial year, Betsson concluded 2023 on a high note, marking it as a jubilee year with unparalleled success. The company not only posted record-high revenue and operating profit but is also strategically positioning itself for expansion into the emerging online gaming markets of Brazil and Peru in 2024.
Stellar Financial Performance
Betsson's financial prowess was in full display as the company announced its year-end results, which showcased significant growth across the board. The group's revenue surged to EUR 948.2 million, up by 22% from the previous year, with an organic increase standing at an impressive 40%. This upward trajectory was underpinned by a 52% increase in EBITDA, amounting to EUR 262.7 million, while the EBITDA margin expanded to 27.7%.
Operating income, or EBIT, was another highlight, witnessing a 60% increase to EUR 210.5 million. Notably, Net income also saw a substantial jump to EUR 173.0 million, translating to EUR 1.29 per share. The Board of Directors has proposed an enhanced shareholder value through an automatic share redemption program, distributing EUR 88.5 million in two instalments.
Record-High Customer Activity
The fourth quarter of 2023 was particularly significant for Betsson, as it recorded highest-ever customer deposits and gaming turnover in both casino and sports betting. This continued vigor is a testament to Betsson's strong product offering and its strategic move towards geographic diversification. CEO Pontus Lindwall highlighted the importance of increasing Betsson's share of revenues from locally regulated markets to ensure sustained profitable growth.
Looking Ahead: Licensing in Brazil and Peru
As 2024 looms, Betsson's strategic foresight is geared towards Brazil and Peru, with both countries expected to introduce licensing systems for online gaming. Lindwall expressed confidence in Betsson's preparedness to apply for gaming licenses in these markets, leveraging the company's strong financial position, proprietary technology, and comprehensive customer offering.
A Vote of Confidence
Lindwall's outlook for 2024 is optimistic, underlined by a vote of thanks to Betsson's employees for their stellar efforts throughout 2023, and gratitude towards the shareholders for their unwavering trust. Betsson stands well-positioned for continued value creation, ready to capitalize on new opportunities in the evolving global online gaming landscape.
In conclusion, Betsson's record-setting performance in 2023 and its strategic initiatives aimed at further geographical expansion underscore the company's robust growth trajectory and its readiness to embrace new market dynamics, particularly in Brazil and Peru.
Analyst comment
Positive news: Betsson Sets New Records in 2023, Eyes Brazilian and Peruvian Online Gaming Markets
As an analyst, I predict that Betsson’s market will experience continued growth and value creation in the coming year, fueled by their record-high revenue and operating profit in 2023. The company’s strategic focus on expanding into the emerging online gaming markets of Brazil and Peru positions them well for success in these regions, especially with the expected introduction of licensing systems. With their strong financial position and comprehensive customer offering, Betsson is poised for further growth and market dominance.
