Business
NorthStar Gaming Reports Record Wagering and Gaming Revenue in Second Quarter of 2023
Increased wagering and market expansion to fuel continued growth Toronto, Ontario--(Newsfile C...
About this update from Northstar Gaming Holdings Inc
[{"type":"text","content":"NorthStar Gaming Reports Record Wagering and Gaming Revenue in Second Quarter of 2023Increased wagering and market expansion to fuel continued growthToronto, Ontario--(Newsfile Corp. - August 24, 2023) - NorthStar Gaming Holdings Inc. (TSXV: BET) (\"NorthStar\" or the \"Company\") today released its financial results for the three- and six-month periods ended June 30, 2023. All dollar figures are quoted in Canadian dollars.\"Our second quarter growth was driven by increases in accounts and wagering activity as our differentiated, premium product continues to attract and engage customers,\" said Michael Moskowitz, Chair and CEO of NorthStar. \"Our integrated editorial content is proving to be increasingly popular with customers looking for insights to improve their betting experience. As the business scales, we are delivering improved financial performance through operating leverage with revenue growth expected to continue to outpace expenses.\"Financial highlights for the second quarter ended June 30, 2023: (1)Total wagers (2) were $160.1 million in Q2 2023, an increase of 15% compared to $139.5 million in Q1 2023. Gross gaming revenue (3) was $5.5 million in Q2 2023, an increase of 26% over $4.4 million in Q1 2023.Gaming revenue, which is net of bonuses, promotional costs and free bets, was $4.6 million in Q2 2023, an increase of 27% from $3.6 million Q1 2023. Gross margin was $1.9 million in Q2 2023 or 40% of Gaming revenue, an increase of 61% over Q1 2023, when gross margin represented 32% of Gaming revenue.Slapshot Media Inc. (\"Slapshot\") contributed $3.0 million of total wagers and $0.1 million of Gaming revenue in the second quarter following its acquisition by the Company on May 8, 2023.Operating highlights:The Company acquired Slapshot Media Inc., a Canadian iGaming marketing and managed services company that specializes in providing managed services to Spreads.ca. The acquisition is expected to open up the Canadian market to the NorthStar brand beyond Ontario, materially expanding the Company's addressable market. Readership of the Company's Insights content - proprietary editorial features offered seamlessly to customers within the NorthStar Bets website and app - increased by 55% in the second quarter compared to Q1 2023. These figures do not include readership generated externally, such as original NorthStar Bets c...