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Bet-at-home has suffered disappointing revenue losses following a 12-month period plagued by a number of operational downfalls. In its full-year 2022 results, the Austrian operator reported a 9.7% fall in revenue year-on-year, compared to the full-year 2021 revenue of €59.3m due to the regulatory changes in Germany and the withdrawal from the UK market.
Back in July last year, Bet-at-home confirmed that it would be closing shop in the UK, exiting this jurisdiction permanently. In light of this, it confirmed it had also forfeited its license. Furthermore, the company disclosed the fact that customers were unable to place bets with the operator since the beginning of July.
Nevertheless new expansions are on the horizon for this firm, with eyes on Germany and Austria already. Who knows, if all goes to plan, they may even expand operations in Oceana, offering punters a range of free bets and other great bonuses.
Malta Shut Down
At the beginning of last year, the gaming operator also made the decision to shut down its Malta subsidiary, as its business activity was primarily online casino offerings in Austria, where the firm had suspended operations in October facing legal claims from players for reimbursement of gambling losses in the casino.
The Maltese Bet-at-home.com Entertainment Ltd., in which the group indirectly holds all shares, had offered an online casino in Austria. However, due to precautionary measures made by the Austrian courts, the Maltese subsidiary was left with no revenue stream, and as such Bet-at-home was unable to cover its liabilities.
UK Exit
The GB Gambling Commission suspended Bet-at-home’s license on the 7th of July, citing concerns that activities may have been carried out against the Gambling Act 2005, such as anti-money-laundering and social responsibility failings. Such factors contributed to the Commission’s decision to undergo an internal investigation.
However, days later, the Austrian operator announced that it would permanently exit GB marketing and surrendered its license. The announcement revealed that Bet-at-home customers would not be able to place bets from the 6th of July.
Mass Layoffs
That same month, Bet-at-home announced mass redundancies as a result of its partnership with EveryMatrix which would see the outsourcing of several services such as the supplier’s OddsMatrix sportsbook and turnkey solution, including player management, payments module, and affiliate software. This news follows the Betclic Everest-owned operator’s restructuring plan which saw 65 employees laid off in 2021.
Bet-at-home’s new partnership with EveryMatrix will cover every market the Austrian gaming operator is present with a two-phased launch a two-phased launch kicking off with the MGA-licensed business, followed soon after by the German-regulated business.
EveryMatrix said Bet-at-home will become one of its largest sports clients in both revenue and brand value. This announcement also comes after EveryMatrix secured the public tender to supply the Hungarian state-owned gaming and lottery operator Szerencsejáték with its digital sports betting software solutions and services for its online brand TippmixPro.
Financial Forecast
Bet-at-home’s online sports betting segment made up the majority of the operator’s revenue-generating €49.0m of the total amount which was a 13.4% yearly loss. On the other hand, online games consisting of casino games and virtual sports products secured the remaining up the remaining €4.5m, which saw a 60.7% increase year-on-year.
The net revenue for betting and gaming for the year was €42.0m, representing an 11.6% decrease. This decline is attributable to the decrease in betting fees and gaming levies, which totalled €11.3m and decreased by 2.9%. In addition, the value-added tax doubled year-on-year to €99,000.
Following a tumultuous year, Bet-at-home plans to buckle down and continue to outsource the majority of its services and increase revenue growth. The operator still desires to expand its core market of Germany and Austria, despite reducing its online casino operation in Austria, in 2022.
For 2023, the company has forecasted a gross betting and gaming revenue in the range of €50m to €60m. Additionally, it has been projected that the EBITDA will be in the range of a loss of €3m to a positive contribution of €1m.
