Super Group records 26% fall in Q3 EBITDA while revenue slip plateaus
Betway and Spin parent company praises 7% rise in monthly average customers while North America dominates revenue share
Super Group has posted a 26% year-on-year (YoY) downturn in adjusted EBITDA in Q3 2022 as the online operator’s revenue slippage abated from Q2.
The parent company of Betway and multi-brand online casino Spin recorded adjusted EBITDA of €56.1m (£48.5m), falling from €75.9m in Q2 2021.
The group’s YoY revenue slip was slightly arrested, with revenue dipping by 2% to €307.8m from Q3 2021’s €312.6m.
Super Group noted this was due to a decline in online casino net revenue and brand license fee income, but was offset by a rise in sports betting revenue.
Total online casino revenue across the Betway and Spin brands fell from €204.4m in Q3 2021 to €196.6m during the reporting period.
Sports betting revenue leaped from €91.4m to €104.6m, supported by the early starts of European football leagues and the NFL beginning in September.
Brand licensing declined from €16.6m to just €1.2m during Q3 2022.
Exploring Super Group’s performance by geographical region, North America continues to be firm’s jewel in the crown after returning 40% of group revenue.
North America posted €123m in revenue, a slight dip on Q2 2022’s €142.1m.
Africa and the Middle East and Asia-Pacific made up the remaining podium positions for the New York-listed firm.
Africa and the Middle East returned revenue of €70.1m in the quarter, representing a revenue share of 23%, while Asia-Pacific posted revenue of €68.5m and revenue share of 22%.
Europe continued to slip in significance with revenue of just €38.4m and a revenue portion of just 12%.
Latam took a 3% share of the revenue pie after posting €7.8m in revenue.
Elsewhere, Super Group reported a downturn in post-tax profit from €50.5m to €34.9m.
Additionally, monthly average customers increased by 7% to 2.7 million during the third quarter. This figure does not include the customers acquired from Jumpman Gaming following its acquisition by Super Group on 1 September.
Neal Menashe, Super Group CEO, said: “Super Group’s online-only business model and ongoing focus on improved customer experience through enhanced global technology platforms continues to ensure optimal customer engagement and value.
“Together with effective investment in our brands and efficient allocation of our capital, this provides us with a sound path for long-term growth,” he added.
Alinda van Wyk, Super Group CFO, commented: “We remain focused on investing into technology and marketing, as well as other opportunities that will provide us with long-term growth and profitability.”
Super Group shares closed up 3% to $3.70 in New York, although the stock is down 68% in the past 12 months.