Betsson reports 18 percent revenue growth in 2022
Author:
Muhammad Gregory
In the first week of April, one of the largest iGaming and sports betting operators in Europe, Betsson AB, published a very positive annual revenue report along with its sustainability report. The Swedish operator recorded a year-on-year increase of 18 percent in revenue from all its gambling segments. Additionally, the company’s operating profit also recorded a significant spike of 11 percent. Casinos roped in over half of the total revenue, while the operator’s sportsbook comprised 32 percent of the figure. The remainder was scattered across smaller segments that are a part of Bettson.
Betsson AB, published a very positive annual revenue report along with its sustainability report.
?Burak The Weekender/Pexels
Based in Stockholm, Betsson is one of the most renowned iGaming brands in the global gambling market. The entity invests in and manages multiple brands and subsidiaries offering online gambling services, including casinos, poker, and more. Betsson owns over 20 iGaming brands and its own sportsbook. Betsafe and NordicBet are two of the biggest brands operating under Betsson. The operator is based in Sweden, but its operations are global. In the last year, the operator reported strong organic growth for Betsson in Latin America, Central and Eastern Europe, and Central Asia (CEECA). The growth was evident via the numbers that were recorded in the operator’s second quarterly reprt of the year. Betsson’s brands operating in the CEECA region roped in €45.7 million in the second quarter of 2022. This quarterly revenue marked a staggering 86.2 percent year-on-year spike. The growth remains consistent, and it is not limited to CEECA. The Swedish operator will be pleased to see its brands and subsidiaries grow globally.
The total revenue collected by Betsson was €777.2 million, which was 18 percent higher than the annual revenue of €657.7 million last year. The gross profit of €504.4 million was also up by the same margin as the revenue. The operating income of the entity increased 11 percent from €117.7 million to €131.2 million, and the operating margin was 17 percent. This increase was credited to the operator’s concentration on cost control and profitable growth. Furthermore, the pre-taxation profit of the operator was €124.6 million, while the net income was €114.7 million. Casinos were the most profitable segment for Bettson in 2022, as they reeled in revenue of €514.5 million. €251 million was brought in by the operator’s sportsbook, and that made up 32.2 percent of the total revenue. The remaining €11.7 million was brought in by other gambling segments that are offered by Betsson’s subsidiaries. Gambling activity is growing year after year in Sweden and all around the world. That growth was noted on Betsson-owned platforms, with a 15 percent increase in customer registrations last year.
The new count of registered players on the operator’s platforms at the end of 2021 was 23,306,560. The count increased to 26,815,714 last year. Bettson is a big promoter of player safety and responsible gambling. The entity has ensured the utilization of all the necessary tools at its disposal to ensure that players with harmful gambling traits are identified before an intervention is attempted. In 2021, the operator contacted 25,850 players who showed signs of harmful gambling. Last year, that number rose to 27,111 players. A crucial KickerTech acquisition also helped Bettson expand its operations. However, it was not a complete takeover, as Betsson only acquired 80 percent of the total KickerTech shares. Malta-based KickerTech is a B2B entity that provides its clients with Artificial Intelligence (AI), Data-Driven Development, Mathematical Models, and more. Betsson announced this partial acquisition in October last year, shortly after publishing the quarterly report for its third quarter of the year, which was its best-ever quarter.
After publishing the annual and sustainability reports, the President and CEO of Betsson, Pontus Lindwall, summarized the entity’s performance last year.
“Gambling is a common popular pastime all over the world, and for 60 years we have been providing entertainment in the form of casino games, sports betting and other types of games. We have been leading the digitalisation of the industry from the very start with the switch to online gaming, and we are still pioneers in everything we do. We have focused on geographic diversification in recent years, entering new markets all over the world and strengthening our product offering and competitiveness. Combined with disciplined capital allocation and constant focus on profitable growth, our efforts have paid off – we can look back at the best year ever in Betsson’s history.”
Betsson utilizes multiple tools to promote healthy gaming
Gambling regulators around the world encourage licensed operators in their respective jurisdictions to implement necessary measures to boost player safety in the regulated gambling markets. Under the umbrella of player safety, there are several aspects to look at. The gambling law of almost all jurisdictions prohibits gambling operators from targeting young, vulnerable, and self-excluded players. Betsson is one of many operators that encourages all its subsidiaries to use all tools available to them in an effort to boost player safety.
The Stockholm-based entity uses its proprietary analysis tool, the Responsible Gaming Prediction Tool, to detect, manage and prevent iGaming problems. Additionally, the operator also offers a self-assessment test and a self-exclusion register, using which players can voluntarily exclude themselves from all gambling activities, including advertising. The Swedish Gambling Authority, Spelinspektionen, also offers a self-exclusion register for Swedish gamblers, and it is called Spelpaus.
Betsson has also imposed deposit limits, personal time limits, reality checks, gaming overviews, and inactivity timeout tools to further enhance player safety. This operator also offers a free self-help programme that lasts six to eight weeks and helps players analyze their cognitive behaviors with respect to gambling.
European expansion could be on the cards this year
In October 2022, the Alcohol and Gaming Commission of Ontario (AGCO) in Canada approved nine iGaming licenses. Betsson was among these nine brands that entered the Ontario province. The AGCO-issued gambling license was Betsson’s 21st gambling license as the entity entered the fifth jurisdiction on the American continent after Argentina (Province and City of Buenos Aires), Colombia, Mexico, and the United States (Colorado). The operator has also made its way into Africa by entering the Kenyan and Nigerian gambling markets.
Apart from that, Betsson is present in 15 European countries. The first license the operator gained was via its Maltese subsidiary in 2004. After that, the expansion across Europe commenced and Betsson entered the gambling markets in the Baltic and Nordic states. It also entered Italy, Germany, Spain, Croatia, and the United Kingdom. There are still a few jurisdictions without any Betsson-owned brands. The operator will certainly be ready to change that this year.
