Acquisitions and New Markets See Betsson Post 24% Year-on-Year Revenue Rise for 2020
2020 was a record-breaking year for Betsson as the group posted a 24% increase in year-on-year revenue with Q4 revenue alone up 37% on 2019’s figures.
Betsson president and chief executive Pontus Lindwall noted that the group’s acquisitions and entry into new markets during the first three quarters of the year had a significant impact on Q4’s revenues.
In a statement, Lindwall said:
“During the first nine months of 2020 Betsson made several acquisitions, which together with licenses obtained in other countries, entailed expansion with new brands to new markets while we continued to develop products and functions in existing markets,”
In April 2020, Betsson purchased Zecure Gaming Limited which was the B2C arm of Gaming Innovation Group (GiG). This saw the group incorporate iGaming brands Thrills, Guts, Kaboo, and RIZK into its extensive portfolio.
The group also secured new licenses in new markets including Colombia, Croatia, and Kenya where Betsson operates as Betsafe. The group also secured a license in the US for the state of Colorado and became one of the first online operators to receive a license in the Argentina’s province of Buenos Aires.
Despite the group’s intention to expand globally, Betsson reduced its presence in the UK market. This is believed to be due to the impending regulatory changes that look set to turn the UK gambling industry on its head. In preparation for the changes, Betsson made the decision to consolidate all of its UK brands and license under its newly acquired RIZK brand.
Yet even with the costs of consolidation and the effects of the global pandemic, Betsson posted a full-year operating income of SEK 1.125 billon or €110 million. This was up 30% on 2019’s operating income of SEK 856 million.
Betsson’s net income for 2020 amounted to SEK 990 million (€97 million).
Speaking of the group’s incredible success in the midst of a global pandemic, Lindwall said:
“The pandemic still holds us all in a tight grip and Betsson’s focus is, as always, on safety and health, for our employees and for society in general.
We still face challenges, but we leave 2020 behind and continue with determination to benefit from our strengths to create a strong global and diversified product portfolio of strong brands and local expertise. The strong financial position enables investments in technology and existing product portfolio. And we are confident in our ambition with a scalable and flexible proprietary technology as well as highly dedicated and talented teams.”
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