Super Group (SGHC), the parent company of Betway, has announced its fourth quarter 2023 (Q4 23) and full year 2023 results revealing record revenue of €1.4 billion ($1.5 billion) for the full year.
According to the announcement, the company recorder the highest ever total revenue for a fourth quarter of €359.9 million ($392.7 million) while profit before tax for the year was €16.8 million ($18.3 million) .
Q4 2023 Key Highlights
- Revenue – €359.9 million ($392.7 million), up by 9%
- Revenue increase using constant currency – €378.4 million ($412.9 million), up 15%
- Loss before tax – €44.9 million ($49 million) / Q422 profit of €21.1 million ($23 million)
- Operational EBITDA – €36.2 million ($39.5 million), down 14.4%
- Q4 Non-US – €54 million ($58.9 million) profit
- Q4 US – €17.8 million ($19.4 million) loss
- Monthly Average Customers – 4.7 million, up 38%
The fourth quarter of 2023 saw a significant loss primarily due to non-cash charges totaling €35.9 million ($39.1 million) linked to the impairment of the DGC cash generating unit. Additionally, there were charges of €6.1 million ($6.6 million) (compared to €15.1 million ($16.4 million) in 2022) associated with the increased fair value of a liability for a call option granted to a third-party aiming to acquire the B2B division of Digital Gaming Corporation Limited (‘DGC’). This acquisition was completed by Super Group in January 2023.
2023 Financial Highlights
- Revenue – €1.4 billion ($1.5 billion), up by 11%
- Revenue using constant currency – €1.5 billion ($1.6 billion), up 19%
- Profit before tax – €16.8 million ($18.3 million), down 92.2%
- Operational EBITDA – €197.3 million ($215.3 million), down 5.3%
- 2023 Non-US – €254.7 million ($277.9 million)
- 2023 US – €57.4 million ($62.6 million) loss
- Monthly Average Customers – 4.0 million, up 43%
Unrestricted cash was €241.9 million ($263.9 million) as of December 31, 2023 compared to €254.8 million ($278 million) at the end of 2022. The decrease in cash is predominantly related to the acquisition of DGC and related technology strategies.
Overall profit for the year was impacted by the additional charges noted in Q4 results.
Neal Menashe, Chief Executive Officer of Super Group, commented:
“We have made tremendous strides in 2023 and are delighted to have achieved an all-time revenue record of €1.4 billion, enabling us to comfortably surpass our guidance for the year. Q4 2023 was particularly strong. Despite the challenging start, we set record breaking totals for revenue, customer numbers and deposits cementing our position as a growing, cash generative and geographically diverse online sports betting and iGaming operator. iGaming continues to be the largest part of our business, allowing us to manage moments of volatility in the sportsbook to deliver record-breaking results. We are confident that we will achieve the double-digit top-line growth that we are projecting for 2024.”
Alinda van Wyk, Chief Financial Officer of Super Group, added:
“For the fourth quarter, we delivered ex-US Revenue of €352 million and ex-US Operational EBITDA of €54 million, which resulted in our December margin hitting 24%, the strongest ever. To have surpassed our guidance, in the face of multiple headwinds, is indicative of our laser focus on realizing cost efficiencies and investing in growth where we can see a clear return. In the US, the operational EBITDA loss was less than expected for the year and we are actively evaluating all of our options.”
Olivia has worked as an editor and writer for major brands across multiple niches. She now focuses on the iGaming and sports betting industries.