STOCKHOLM, Sweden -- (PRESS RELEASE) -- Revenues in the third quarter are estimated to be between SEK 525 million and SEK 535 million and the operating profit (EBIT) is estimated to be between SEK 115 million and SEK 130 million. Betsson (STO:BETSB) has chosen to inform about this since the market expects higher revenues and better EBIT.
The third quarter of the year holds an unusually short part of the high season for gambling, due to the late start of the European soccer leagues. This has affected especially the Sportsbook, but has also had a negative impact on the activity in other product segments.
Furthermore, the quarter has so far had many, for Betsson, unfavorable sports results, which have contributed to a low Sportsbook margin. The Sportsbook margin after free bets is approximately 5.5 % so far in the quarter, which can be compared to 7.6% during the third quarter last year.
The activity level during the third quarter has also been negatively affected by certain initial issues in connection to the technical platform migration of Betsafe.com. Extensive actions have been initiated, which has contributed to the recovery of the customer activity in the second half of September .
Based on underlying customer activity in the third quarter, with all time high (ATH) in comparable Euro figures in deposits in combination with high gross turnover in Sportsbook, the management believes, however, that Betsson has good opportunities to grow faster than the market in the future.
Betsson AB’s Core Business consists of owning and administering shareholdings in companies which, themselves or through partners, offer gaming to the end users via the internet. Betsson AB owns Betsson Malta which operates gaming to the end users either through their own websites or through partnerships. Betsson Malta offers Poker, Casino, Sportsbook, Scratch Cards, Bingo and Games. The customers come primarily from the Scandinavian countries and other parts of Europe. Betsson AB is listed on NASDAQ OMX Nordic Mid Cap List, (BETS).
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