Bet365 New Figures show Annual Growth of 2%

Bet365 New Figures show Annual Growth of 2%  

It is reported that Bet365 full-year revenue for the 52-week period ending 27 March 2022, is at £2.85bn, representing a 2.3% increase on the prior year.

Sports revenue fell by 2%, although gaming revenue rose by 25%, which the company attributed to significant product improvements.

Result Analyses

Paul Leyland of Regulus Partners, while analyzing the results, wrote that to a large extent, bet365’s underlying performance was far stronger than the suggested 2% revenue growth, especially considering their nearly 50% increase, in global active users.

He stated further that the lacklustre revenue performance by the company, was partly due to unusual high sports betting margins during the comparable period, caused by lockdown and other major events disruption, due to governments’ reaction to Covid-19.

He also noted that active customers for the period in review, increased by 48%, compared to just 13% in 2021.

Products

The bet365 sportsbook – long considered one of the best products in online gambling – made a series of product enhancements during the reporting period.

These included a new golf product with upgraded visuals, the extension of Bet Builder into Rugby League, NFL and Aussie Rules and the launch of Bet Boosts across various sports.

Remuneration, Tax and Good Causes

Bet365’s long-standing CEO Denise Coates, who is their highest paid director, takes home an annual salary of £213.4m. This salary actually represents a 14.5% pay reduction from his take-home the previous year.

Despite being a privately owned company, bet365 publishes its full-year financial statement on the UK government’s Companies House website each year.

The operator also donated £100m to her charity and paid £8.1m in tax over the reporting period.

Conclusion

According to Leyland in his analyses, even though bet365’s absolute results are deemed solid, the operator’s competitive landscape is changing rapidly, and their 2% growth in this period, implies a material loss in share.

He highlighted that a decade ago, bet365’s main competition was a mix of badly run UK-led, dot com operators, monopolies and local businesses with little digital scale, but that now, most markets now contain ‘local heroes’ which are not bet365.

He added that while bet365 is still considered to be the likely market leader in in-play led sports betting, it is however far less likely to be a market leader in highly localised, multiples-led, pre-match-led, data-led, or gaming-led markets, which represents a dangerously expanding list.

Bet365 however, could surprise the market via Mergers & Acquisitions, as it is said to have the strongest product in the most competitive OSB market in the world (UK). They are expected to be able to challenge for podium position in the US OSB app rankings, as it further localises its product, in the US

Source: www.igamingnext.com