CasinoBeats is breaking down the numbers behind some of the industry’s biggest stories. Our latest headline reflection features a plethora of third-quarter financials from the likes of Bally’s and Catena Media, as well as a new codebook from the Betting and Gaming Council.
12%
Bally’s Corporation’s Q3 figures were headlined by UK growth as online revenues in the nation rose by almost 12% across the quarter, compared to Q3 2023 comparatives.
However, overall International Interactive revenue fell by over 5% YoY due to non-UK market performances.
Bally’s declared company-wide revenue of $630m, down slightly YoY (Q3 2023: $632.5m). Per vertical, gaming revenue in Q3 rose to $523.9m (2023: $508.9m) while non-gaming revenue decreased to $106.1m (2023: $123.6m).
International Interactive revenue dropped by 5.3% YoY to $230.9m (2023: $243.9m), as CEO Robeson Reeves mentioned that the 11.8% YoY growth in the UK was offset “in part by lingering weakness in other non-UK markets, with a particular emphasis on the ongoing logistical challenges impacting business in Asia”.
Reeves noted that UK growth was “driven by all-time high active customer levels and robust Average Revenue per User metrics along with growing traction for our online sports betting offerings which include a newly launched Bally’s-branded product that joins our initial Jackpotjoy offering”.
Adjusted EBITDAR for the segment rose to $90m, up 5.3% in comparison to the same period the previous year (2023: $85.5m).
Reeves said: “Flow-through in our International Interactive segment remains very healthy as a result of diligent UK marketing spend, management of compensation expenses along with the continued realisation of synergies from our technology platform consolidation.”
33%
Catena Media suffered a revenue dip for the third quarter, decreasing by 33% to €10.7m, whilst revenue from North America dropped by 29% to €19.5m.
As well as this, there was also a slight dip in new depositing customers from continuing operations which totalled 27,342 (Q3 2023: 40,104), a decrease of 32%.
CEO Manuel Stan commented on the firm’s performance: “From a top-line perspective, Q3 was a challenging quarter in which we saw revenue decline by 33%, driven by continued underperformance in online sports betting. Lower revenue also reflected the ending of certain media partnerships and changes made to other partner agreements.
“The flipside was that these cost-side measures lifted the adjusted EBITDA margin from 1%in July to 18% in September and double adjusted EBITDA quarter-over-quarter. Alongside this bottom-line improvement, we also saw a like-for-like increase in North American Casino revenue and incremental gains in our key organic search rankings, despite higher-than-usual volatility due to Google’s core updates.”
Stan also went on to provide a positive outlook for the firm’s North American casino operations as he revealed that the drop in revenue from €8.6m to €7.6m was ‘primarily a reflection of casino revenue related to prior quarters.
He continued by stating that ‘excluding this, casino revenue rose slightly during the period, maintaining the year-over-year trend observed in Q2’.
20%
The Betting and Gaming Council has published its first Code Handbook, which includes an aim to make at least 20% of slot machine top screen imagery dedicated to safer gambling messaging.
The measures, which have already been implemented across the sector, include a trio of codes that have become part of License Conditions and Codes of Practice (LCCP) for members.
At the heart of the casino sector’s new guidance is ensuring that safer gambling messaging and increased information is prevalent within the land-based casino environment.
Amongst other strategies one aims to ensure that slot machine safer gambling messaging is boosted – ‘outside of game play, at least 20% of slot machine top screen imagery to be dedicated to safer gambling messaging, where game and machine functionality permits’.
As well as this, one strategy bids for safer gambling messaging to appear on slot machine receipts (referred to as TITO), promoting safer gambling and advice on staying in control, including the National Helpline phone number.
These measures will apply across the diverse membership of the BGC, including land-based operators like casinos, which are a pillar of the hospitality and tourism sector, bookmakers on hard-pressed high streets and online gaming operators.
Betting and Gaming Council CEO Grainne Hurst, commented: “I am delighted to announce this new Code Handbook, which comprises over five years of determined work to raise standards, across the board.
“It is also entirely fitting that we publish this landmark new Code Handbook on our fifth anniversary. The BGC was founded as the industry’s standards body, and this Handbook draws together our sector’s combined efforts, under the leadership of the BGC, to raise standards on safer gambling in the UK.”
€402.9m
Super Group reported a 13% YoY revenue increase to €402.9m (Q3 2023: €356.9m), its highest revenue recorded ever in the third quarter. In constant currency, revenue rose by 15% to €410.9m.
The operator group noted that the revenue growth was “driven by growth from the Africa, Europe and North America (predominantly Canada) markets partially offset by declines from the Middle East and Asia-Pacific markets”.
Per product, online casino revenue for the company stood at €330.2m at the end of Q3 (2023: €277.1m), sports betting was €67.1m (2023: €64.6m), brand licensing was €3.7m (2023: €8.3m) and other revenue was €1.9m (2023: €6.9m).
Betway revenue stood at €239.4m (2023: €206.4m) while Spin revenue was €163.5m (2023: €150.5m). Monthly active customers during the quarter increased by 17% YoY to 4.7 million (2023: four million).
Revenue per region segment, Africa and Middle East stood at €151.2m (2023: €100.1m), followed by North America with €144.8m (2023: €134.1m), Europe with €67.4m (2023: €54m), Asia-Pacific with €33.7m (2023: €62m) and South/Latin America with €5.8m (2023: €6.7m).
“We achieved our strongest third quarter ever, highlighting the phenomenal progress we are making as a business,” commented Menashe.
“There is still tremendous potential as we experience super growth across our global casino brands, and particularly in Africa which we have scaled to be our largest region for the second quarter running.”
