Betsson Ab Class B · OMXSTO:BETS_B
Betsson Ab Class B — Q2 2023 Earnings Presentation
14 slides from Betsson Ab Class B's earnings presentation, Jul 20, 2023
Slide 1: Q2 2023 Presentation of results
Q2 2023 Presentation of results
Slide 2: Outline
OUTLINE ▪ Highlights ▪ Business update ▪ Regulatory update ▪ Financials ▪ Trading update Martin Öhman Pontus Lindwall President & CEO, CFO, Betsson AB ▪ Summary Betsson AB ▪ Q&A 2
Slide 3: Q2 2023 Key Figures
Q2 2023 KEY FIGURES REVENUE EBIT EBIT OPERATING CASH CUSTOMER MARGIN FLOW DEPOSITS 237 MEUR 55 MEUR +27% YoY +87% YoY 23.0% 89 MEUR 1,241 +43% organic MEUR +47% YoY SPORTSBOOK SPORTSBOOK CASINO CASINO REVENUE SPORTSBOOK TURNOVER TURNOVER REVENUE MARGIN +32% +13% 8.0% +47% +35% YoY YoY YoY YoY Margin
Slide 4: Our Markets – Some Activities
OUR MARKETS – SOME ACTIVITIES EXISTING MARKETS NEW MARKETS B2B M&A New shirt sponsor of Boca Juniors until 2024 Racing Club sponsorship for the 2023/2024 season Renewed Colombia: new sponsorship brand ambassador – with Lithuania’s Sara Uribe - a well- basketball known TV presenter men’s team 4
Slide 5: Strategic Initiatives
STRATEGIC INITIATIVES EXISTING MARKETS NEW MARKETS B2B M&A ▪ Acquisition of betFIRST for 120 MEUR ▪ Partnership with French casino operator announced in June Groupe Partouche to offer online casino games ▪ Leading sports betting and gaming operator in Belgium with online and offline presence in Belg
Slide 6: Product & Technology Development
PRODUCT & TECHNOLOGY DEVELOPMENT NordicBet app launched Cloud migration and in Sweden and some native app development POS/MGA markets continued Added sportsbook content, especially within e-sports and streamed events 6
Slide 7: Regulatory Update
REGULATORY UPDATE NORWAY PERU FINLAND SWEDEN Changes completed to New modified online Prohibition order Supreme comply with C&D gambling law announced to BML Administrative Court order by the approved by congress Group but ruled that SGA fines Norwegian Gambling and officially temporarily stopped sh
Slide 8: Development and KPIs
DEVELOPMENT AND KPIs Revenue (MEUR) ATH revenue of Customer deposits (MEUR) +27% 250 236.8 MEUR 1 400 +47% 1 200 200 +43% organic 1 000 YoY 150 800 600 100 400 50 200 0 0 Q1-21 Q2-21 Q3-21 Q4-21 Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 Q2-23 Q1-21 Q2-21 Q3-21 Q4-21 Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 Q2-23 Active cu
Slide 9: Revenue Development by Region YoY
REVENUE DEVELOPMENT BY REGION YOY +27% +43% 6 1 29 RoW 2% Nordics 2 42 1 22% CEECA MEUR 266 43% 237 186 Latin America 22% Western Europe 11% Q2 22 Nordics Western CEECA LatAm Rest of world Q2 23 FX and M&A Q2 23 organic revenue Europe reported effects revenue revenue 9
Slide 10: EBIT Development YoY
EBIT DEVELOPMENT YOY +87% MEUR Q2 2023 Q2 2022 EBIT Adj. Margin EBIT EBIT Revenue 237 186 15.7% Margin Margin 23.0% 24.2% Gross profit 163 119 7 1 4 3 10 3 Gross margin 68.6% 63.8% 51 Opex 108 90 55 58 29 EBIT 55 29 Q2 22 EBIT Revenue Cost of Marketing Personnel D&A Other Q2 23 EBIT One-off Q2 23 ad
Slide 11: Cash Flow & Financial Position
CASH FLOW & FINANCIAL POSITION — Operating cash flow MEUR Q2 2023 Q2 2022 — High operating income drives significantly higher cash flow YoY Operating cash flow 89.2 37.8 — Positive effect from working capital due to decrease in accounts receivables and PSPs balances Cash flow from investing -15.7 -1
Slide 12: Q3 2023 Trading Update
Q3 2023 TRADING UPDATE* Average daily revenue up to and including 16 July was 20% higher than the average daily Q3 revenue of the full quarter in Q3 2022. The average organic daily revenue was 30% higher than the average daily revenue of the full quarter in Q3 2022 Sportsbook margin higher than hist
Slide 13: Summary Q2 2023
SUMMARY Q2 2023 ▪ New record revenue, EBIT and operating cash flow ▪ 43% organic revenue increase Y/Y ▪ Record revenue in both B2C and B2B ▪ ATH turnover and revenue in casino ▪ Revenue growth in all regions ▪ Highest ever customer deposits ▪ Scalable model drives improved profitability ▪ Strong bal
Slide 14: Thank You
betsson THANK YOU. fy TIME FOR Q&A ait ‘44 hd ji j ‘Aan |