Bet365 experienced a turnaround in its fiscal year 2023-2024, regaining profitability as revenue grew and its footprint expanded in the United States. The company’s financial filing highlighted key developments, including growth in sports betting and strategic investments in new markets.
Revenue Growth and Profitability
For the year ending March 31, 2024, Bet365 reported a 9% increase in group revenue, reaching £3.72 billion ($4.65 billion). The betting and gaming segment accounted for £3.7 billion ($4.62 billion), with profit before tax hitting £626.6 million ($782.97 million). However, the company’s Stoke City FC operations reported a widened loss of £30.3 million ($37.86 million), compared to £12.4 million ($15.49 million) the year before.
US Expansion and Product Enhancements
CEO Denise Coates pointed to the company’s expansion in the US as a key driver of growth. Bet365 launched regulated betting platforms in several states, including Arizona, Indiana, and Pennsylvania. Coates emphasized that investments in these markets and product updates contributed significantly to the year’s performance.
The operator introduced new features, such as extending Bet Builder to sports like boxing, cricket, and Formula 1, which helped drive an 11% rise in sports betting revenue. Additionally, enhancements in fantasy sports and virtual gaming, with added language options like French and Latin American Spanish, supported the company’s global strategy.
Gaming Segment and Personalized Features
While gaming revenue remained flat due to market challenges in live casino gaming, Bet365 focused on personalization. Updates included a recommendation engine for games and exclusive features like the in-house-developed “Super Mega Ultra” live game show.
Charitable Contributions and CEO Pay
During the year, Bet365 increased its charitable donations by 20.5%, contributing £127 million ($158.69 million), with £120 million ($149.95 million) directed to the Denise Coates Foundation. Denise Coates’ salary for the period was £94.6 million ($118.21 million), a significant reduction from the previous year’s £220.7 million ($275.78 million).
Changes at Stoke City FC
Stoke City FC, previously listed as a Bet365 asset, was delisted in July 2024. The football club is now under the control of director John Coates, with the demerger process costing an estimated £118 million ($147.45 million).
Regulatory Challenges and Compliance
Bet365 emphasized its commitment to regulatory compliance, particularly in the UK, where it is part of the Gambling Commission’s pilot program for financial risk checks. The company is preparing for new deposit threshold requirements that will take effect in 2025.
In Australia, Bet365 is cooperating with an ongoing anti-money laundering investigation by AUSTRAC, initiated in March 2024. The company acknowledged the inquiry but noted that enforcement action is not guaranteed.
Customer Claims and Strategic Outlook
The filing disclosed customer claims of £19.9 million ($24.87 million), primarily linked to activities in Germany and Austria. Despite these challenges, Bet365 remains focused on strengthening its position in regulated markets. The company stated that ongoing initiatives aim to ensure consistent performance across all gaming products.
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