Betsson Ab Class B · OMXSTO:BETS_B
Betsson Ab Class B — Q1 2022 Earnings Presentation
22 slides from Betsson Ab Class B's earnings presentation, 2022
Slide 1: Q1 2022
Q1 2022 Pontus Lindwall, President & CEO Betsson AB Martin Öhman, CFO Betsson AB
Slide 2: Outline
OUTLINE ▪ Highlights ▪ Progress during the quarter ▪ Financials ▪ Trading update ▪ Regulatory update Pontus Lindwall Martin Öhman CEO, Betsson AB CFO, Betsson AB ▪ Summary ▪ Q&A 2
Slide 3: Q1 Highlights
Q1 HIGHLIGHTS REVENUE EBIT SPORTSBOOK MARGIN REVENUE MEUR 170 14% +45% +8% YoY SPORTSBOOK YoY EBIT NET DEBT TURNOVER MEUR 24 MEUR -17 ACTIVE -13% YoY +10% CASINO CUSTOMERS REVENUE YoY ORGANIC EBIT 1 256 449 -5% MEUR 38 +33% YoY YoY GROWTH +40% YoY 3
Slide 4: The Betsson Strategy Supports Growth
THE BETSSON STRATEGY SUPPORTS GROWTH VISION Deliver the best customer experience in the gaming industry MISSION AMBITION Be a long-term, leading Be a customer-centric gaming company online gaming company that sustainably outgrows the market EXISTING MARKETS NEW MARKETS B2B M&A TALENTED PEOPLE QUALIT
Slide 5: Existing Markets – Betsson's Backbone
EXISTING MARKETS – BETSSON’S BACKBONE EXISTING MARKETS NEW MARKETS B2B M&A Betsson Sweden… StarCasino.sport Italy… • Launched the 4th season of • Sponsored A.C. Milan, ‘Fimpens Resa’ and the Internazionale Milano ‘Real Hockey Heroes’ and SSC Napoli initiative • Consumer promotion engaging the fans o
Slide 6: High Activity in New Markets
HIGH ACTIVITY IN NEW MARKETS EXISTING MARKETS NEW MARKETS B2B M&A Betsson Argentina has launched in the Betsson Greece… Province and City of Buenos Aires • Secured deal with Nova Sports, cable TV channel and • Partnered with novasports.gr news portal Casino de Victoria, a leading land-based Argentin
Slide 7: US Launch in Colorado
US LAUNCH IN COLORADO EXISTING MARKETS NEW MARKETS B2B M&A — Focus on fine-tuning the product post-launch and pre-marketing — Marketing campaigns to be initiated in May 2022 — Participates in several RFPs and other processes for the B2B offering — Having a live product is key 7
Slide 8: Innovation Supporting Growth
INNOVATION SUPPORTING GROWTH Improved system capacity and an 543 casino games were overall improved customer released, 11 of which came experience - more responsive with a period of exclusivity for websites and mobile apps our brands Increased focus on Offering launched in the developing native City
Slide 9: Award Winning Quarter
AWARD WINNING QUARTER New Casino Awards 2022 International Gaming Awards 2022 ▪ Most Compared Casino of the Year ▪ Safer Gambling Operator of the Year ▪ Great Place to Work EGR Nordics Awards 2022 ▪ Operator of the Year ▪ Customer Services Operator ▪ Sportsbook Operator of the Year ▪ Affiliate Progr
Slide 10: Sustainability Framework
SUSTAINABILITY FRAMEWORK —Integrated part of business strategy —Five focus areas: Responsible Gaming, Business Compliance, Employee Impact, Social Impact and Climate Impact —Goals, KPIs and governance processes in place —Mapped against U.N. Development Goals —Sustainability reporting according to GR
Slide 11: Highlight Responsible Gaming Prediction Tool
HIGHLIGHT RESPONSIBLE GAMING PREDICTION TOOL Full integration Based on academic research with different groups of parameters, such as: completed in Q1 2022 Gambling activity Payment activity & related patterns & related patterns Holistic 360 view Time related - length, of player profile Demographics
Slide 12: Selected Activities During Q1
SELECTED ACTIVITIES DURING Q1 Anti-corruption and AML BUSINESS New mandatory internal training course on anti-corruption. COMPLIANCE Developing the AML Code of Conduct for the Online Gambling Industry, together with the European Gaming and Betting Association (EGBA). SOCIAL Supporting Ukrainian busi
Slide 13: Financials
FINANCIALS betsson ab
Slide 14: Development and KPIs
DEVELOPMENT AND KPIs Active customers increased Deposits increased to by 33% to 1,3M MEUR 782.5 Reporting in EUR Revenues increased to MEUR 170.2, an instead of SEK increase of 8%. Organic increase of 14%. Casino revenue Sportsbook turnover increased decreased by 10% YoY with a margin of 8.3% by 5%
Slide 15: Revenue Development by Region
REVENUE DEVELOPMENT BY REGION +8% 1 6 17 23 0,1 MEUR 170 157 Revenue Q1'21 Nordics Western Europe CEECA LatAm RoW Revenue Q1'22 15
Slide 16: EBIT Development YoY
EBIT DEVELOPMENT YOY -13% Organic EBIT EBIT EBIT Margin Margin Margin 17.3% 13.9% 17.7% 8,1 12,8 0,8 MEUR 3,1 6,1 14,6 38,2 27,3 23,6 Q1 21 EBIT Revenues Cost of Services Marketing Personnel Other Costs Q1 22 EBIT FX and M&A Q1 22 organic Sold Expenses Expenses effects EBIT 16
Slide 17: Cash Flow & Financial Position
CASH FLOW & FINANCIAL POSITION — Operating cash flow MEUR Q1 2022 Q1 2021 — Negative effect from working capital of 2.9 million Operating cash flow 26.9 32.3 — Investments — Driven by investments in own development Cash flow from investing -9.4 -7.7 — Financing activities activities — Driven by leas
Slide 18: Q2 2022 Trading Update
Q2 2022 TRADING UPDATE* Average daily revenue until 25 April was 13.5% higher than the average daily revenue of the full Q2 2021 Q2 The average organic daily revenue was 17.7% higher than the average daily revenue of the full Q2 2021 During this period, the sportsbook margin has been higher than the
Slide 19: Regulatory Update
REGULATORY UPDATE betsson ab
Slide 20: Regulatory Update
REGULATORY UPDATE NORWAY NETHERLANDS SWEDEN CANADA BELARUS A new Gambling Act Licence applications In January the The newly regulated Belarus’ support to was decided with the was filed with the appeals level court Ontario online Russia in its war aim to be imple- Dutch regulator in upheld the judgme
Slide 21: Summary Q1
SUMMARY Q1 ▪ Revenue growth driven by continued good momentum in the sportsbook and through geographic diversification ▪ Strong SB activity resulting in ATH SB revenue ▪ Overall revenue growth YoY driven by Latin America ▪ Strong financial position with a positive net debt ▪ Solid outlook for the re
Slide 22: Thank You
betsson ab THANK YOU TIME FOR Q&A