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Betsson Publishes Interim Report for Q1 2022

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Betsson AB has published its interim report for the first quarter of 2022.

Highlights

  • Group revenue was EUR 170.2 (157.4) million, an increase of 8%. Organic increase of 14%.
  • Casino revenue decreased by 5%. Sportsbook revenue increased by 45% and the sportsbook margin was 8.3% (7.2%).
  • EBITDA was EUR 33.4 (35.8) million, a decrease of 7%. The EBITDA margin was 19.6% (22.7%).
  • Operating income (EBIT) was EUR 23.6 (27.3) million, a decrease of 13%. The EBIT margin was 13.9% (17.3%).
  • Net income was EUR 20.9 (23.7) million, corresponding to EUR 0.16 (0.17) per share.
  • Operating cash flow was EUR 26.9 (32.3) million.
  • Active customers increased by 33% to 1,256,449 (948,109).

CEO’s Comments

“Revenue growth driven by continued good momentum in the sportsbook and through geographic diversification”

Some years ago, Betsson conducted an extensive review to capitalise on growth opportunities on the gaming market that would maintain profitability. The review resulted in the following strategic cornerstones: growth in existing markets, growth in new markets, strategic additions and acquisitions and investment in Business to Business, B2B. Thanks to a goal-oriented work from our employees, we have been able to take advantage of the growth opportunities identified, which has resulted in increased revenue and healthy profitability.

Betsson’s revenue increased during the first quarter by 8 percent (14 percent organic) to EUR 170.2 (157.4) million. Once again, new records were set for sportsbook revenue and in several individual markets. It has been said many times before, geographic diversification makes Betsson’s business less sensitive to disruptions in individual markets.

The launch in March of the proprietary sportsbook in the United States was an important milestone in Betsson’s continued global expansion. The US investment is primarily focused on presenting the US adapted sportsbook to other operators within the framework of the B2B offering. More specifically, we are initially using the Business to Consumer (B2C) offering in Colorado as a showcase for the sportsbook. Many months of hard work from the product and technology teams were required to create a competitive sports product for the American market.

Starting this quarter, developments in Latin America will be reported as a separate region in our financial reports. The region is developing very satisfactorily. Market presence has also been strengthened in Latin America through the launch of our offering in both the City and Province of Buenos Aires, Argentina. To support the region’s growth, Betsson has built up a regional hub with central functions to serve local markets based on their respective conditions. The assessment is that these markets are still in their early stages in many respects and that growth opportunities for the coming years continue to be positive.

Although Betsson has several highlights to celebrate in the past quarter, the geopolitical developments in the surrounding world are concerning. The Russian invasion of Ukraine has led to incredible human suffering and created a high level of uncertainty in many countries. Belarus’ active choice to get involved in the conflict on the Russian side led to Betsson’s decision to return the local license and completely shut down the operations that was building up in the country. The conflict has also brought that Betsson-contracted developers in Ukraine could in some cases be evacuated to Malta and Budapest, in other cases to less dangerous areas of Ukraine. Betsson sets the safety and health of its employees at the highest priority and is therefore carrying out ongoing efforts to ensure their security.

During the quarter, further efforts were made to promote responsible gaming. Through increased training efforts and earlier customer interaction et cetera, the trend of the share of red-flagged customers has decreased during the last years.

Looking ahead, we are seeing more undertakings on the horizon. Our ambition is to further strengthen our presence in North America by operating under a new license in the Ontario region in Canada starting this summer. We also aim to launch in Mexico together with our local partner Big Bola Casino in 2022.

Applications to operate in the Netherlands under the new license model were submitted during the quarter in line with the Group’s plan.

All in all, the year has been off to a good start as there are many important activities that we look forward to during the remainder of 2022.

George Miller (Gyorgy Molnar) started his career in content marketing and has started working as an Editor/Content Manager for our company in 2016. George has acquired many experiences when it comes to interviews and newsworthy content becoming Head of Content in 2017. He is responsible for the news being shared on multiple websites that are part of the European Gaming Media Network.

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KSA Issues New Duty of Care Guidance for Gaming Arcades and Casinos

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The Netherlands Gambling Authority (KSA) has issued new guidance for gaming arcades and casinos to improve the implementation of their duty of care. The KSA previously visited gaming arcades across the country. These visits revealed that while most arcades are paying attention to their duty of care, implementation could be improved in some areas. The guidance the KSA is now sharing with license holders contains practical tools and explanations, but no new rules.

Duty of care of arcades

With the implementation of the Gambling Act (Wet Koa), the duty of care for gaming arcades has been further expanded. This means they are obligated to prevent and mitigate gambling addiction as much as possible. Since then, gaming arcades have taken steps to comply with this requirement. However, in practice, the stated good intentions and the relevant policy are not always sufficiently aligned. The KSA has discussed this with various parties within the sector. Based on the input from these discussions, the new guidance has been developed.

Guidance

The guidance for arcades includes resources that providers can use to properly fulfill their duty of care and better inform their employees. The guide provides explanations and examples of what arcades must do and what the KSA expects of them. It also includes an overview of frequently asked questions. In addition to the guidance, a poster and an animation have been developed to raise awareness among arcade employees about the duty of care.

Along with the duty of care guidance, arcades also received a Guideline for Identity and Cruks Verification. The KSA regularly receives questions from the sector about the Cruks exclusion register. This guideline addresses the operation of Cruks and the most common questions and problems.

KSA chairman Michel Groothuizen said: “Certain key factors of the duty of care are easier to monitor for online providers than in brick-and-mortar casinos. In our conversations with arcade owners, we’ve noticed that they want to do more with the duty of care, but sometimes still struggle with its proper implementation. With this new guidance, supplemented with informational materials for employees, we’re giving them new tools to do so. In this way, we’re working together to ensure that players are optimally protected even at brick-and-mortar providers.”

The post KSA Issues New Duty of Care Guidance for Gaming Arcades and Casinos appeared first on European Gaming Industry News.

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QuinnBet Expand Ospreys Partnership

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The Ospreys announced that official betting partner, QuinnBet, had expanded their partnership with the Ospreys. The partnership will see QuinnBet take a place on the Ospreys shorts of all three of the team’s kits this season.

The new, multi-year partnership will see the QuinnBet logo take a prominent placement on the back of all three playing shorts.

With the Ospreys competing in front of multi-continental audiences in both the BKT URC and EPCR Challenge Cup this season, QuinnBet’s brand is set to reap the benefits.

Launched in 2017, QuinnBet, regulated by the UK Gambling Commission, and in Ireland by The Gambling Regulatory Authority of Ireland, has firmly established themselves in the iGaming industry by providing a socially responsible service. With an emphasis on giving more back through unique promotions and excellent customer care, QuinnBet has become a trusted name in the industry.

Head of Commercial for the Ospreys, Richard Lancaster, said: “We’re delighted that QuinnBet have decided to expand their partnership with the Ospreys. We have already built a successful relationship, and we’re looking forward to building on that even further in the coming seasons.

“Working with QuinnBet has already been hugely beneficial for us in education around Safer Gambling awareness, and we’re already planning on how to improve on this even further as we look ahead to the future.”

Niall McPartland, Head of Commercial and Sponsorship at QuinnBet, added: “We are delighted to enter this significant three-year partnership with Ospreys Rugby.

“The partnership builds on our inaugural 24/25 season sponsorship of The Ospreys, and the extension until 2028 demonstrates the success of the partnership to date and the huge regard we have for the club.

“Ospreys are one of the dominant forces in Welsh rugby, producing numerous players who have gone on to represent Wales and The Lions internationally. We are therefore privileged that our association with the club, will showcase QuinnBet at the highest level to Rugby supporters across the UK, Ireland and internationally.

“We commit to utilising the partnership to promote our brand in conjunction with Safer Gambling, which is integral to our business and which Ospreys Rugby is fully supportive of. We would like to wish everyone at the club the very best for the season ahead.”

The post QuinnBet Expand Ospreys Partnership appeared first on European Gaming Industry News.

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Amusnet Announces Strategic Partnership with Inbet

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Amusnet, a leading provider of next-generation gaming solutions, has announced a strategic partnership with inbet, a prominent operator of gaming halls in Bulgaria. This collaboration marks a significant step in Amusnet’s strategy to expand its well-established online casino content into the land-based sector.

“Our expansion into the land-based sector is a testament to our enduring and successful relationship with inbet. We have built a foundation of mutual trust and respect and are confident about the next big step. This partnership allows us to continue to provide exceptional gaming experiences, seamlessly bridging our online success with their land-based operations,” said Rosen Videnov, Land-based Sales Manager at Amusnet.

The partnership includes the initial installations of 46 Amusnet slot cabinets, model Type S 27, now available in all 11 inbet gaming halls across 10 locations such as Sofia, Velingrad, Plovdiv, Varna, Veliko Tarnovo and others. Manufactured in Bulgaria to the highest standards of the global land-based casino industry, Amusnet’s slot machines combine cutting-edge technology, premium design, and exceptional player engagement. The machines feature a rich portfolio of over 40 popular titles, including fan favourites such as Stoichkov #8, Extra Crown, 20 Golden Coins and Bulky Fruits.

“It is a genuine pleasure to strengthen our collaboration with Amusnet, a partner we admire for its innovation and professionalism. Our joint ‘Premium Lemons’ campaign has been a standout success, loved by players and reflecting the great synergy between our teams. We look forward to carrying this momentum into our land-based venues with Amusnet’s top-quality slot cabinets, enhancing the player experience and setting new standards in Bulgarian gaming,” said Slavcho Papalezov, Chief Marketing Officer at inbet.

The partnership with inbet highlights Amusnet’s strategic vision to integrate its well-established online casino content into the land-based sector, strengthening its position as a leading provider of comprehensive solutions for the gaming industry.

The post Amusnet Announces Strategic Partnership with Inbet appeared first on European Gaming Industry News.

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