EBITDA rose despite a decline in revenue at the Germany-facing gambling operator.
Germany.- Bet-at-home has reported gross gambling revenue of €24.2m for H1. That’s a drop of 9.3 per cent from €26.7m in the same six months last year.
However, EBITDA more than tripled to €3.8m (€1.1m in H1 2022) due to intense cost cutting. Job cuts saw personnel expenses fall by 39.3 per cent year-on-year to €4.7m, while marketing expenses fell 5.6 per cent (€5.5m) and other operating expenses by 13.9 per cent (€6.2m).
Bet-at-home, which is now owned by FL Entertainment after the company’s merger with Betclic Everest, said the fall in revenue was the result of regulatory changes in Germany, which remains its biggest single market. The changes include the introduction of monthly betting limits and a €1 per spin stake limit for slots from July 1 last year. It said growth in online gaming had been weaker than expected as a result of these changes.
In 2021, Bet-at-home left the Austrian market amid legal issues, with players suing for the reimbursement for losses on bets made on the unregulated market. That led the company to close its Maltese business, which targeted Austria. The company also handed in its British gambling licence after a suspension for anti-money laundering and social responsibility failings.
Bet-at-home says it expects gross gambling revenue for the year to reach between €50m and €60m, with stronger online sports betting in H2. It’s maintaining its forecast for EBITDA of between -€3m and €1m as it expects to up marketing spend in the second half ahead of the start of the football season.