Lottomatica’s online market share in Italy hits record high as revenue climbs 30%
Italian operator also posts steep increase in online revenue, rising 62% after a strong Q3 performance across all verticals as further SKS365 synergies outlined
Lottomatica Group has posted Q3 revenue of €485.6m (£405.3m), representing a 30% year-on-year (YoY) climb from the corresponding quarter in 2023.
The third quarter’s positive trajectory was spearheaded by a steep rise of 62% in online revenue, which was recorded at €205.3m.
The strong performance means that Q3 saw Lottomatica Group’s Italian online market share reach an all-time high, according to the company’s own data, outpacing the likes of Flutter and Playtech.
Online sports betting market share sat at 31.5%, representing an increase of 1.5 percentage points from Q3 2023, while igaming has seen an identical percentage point rise to hit 29.7%.
In turn, the group’s overall online market share is reported as 29.9%, a record showing for the Milan-listed operator.
Lottomatica added its online growth dwarfs the market average of 12%, with overall online growth of 24% in the year to date.
Retail sports betting revenue during the quarter shot up 37% YoY to €99.6m while retail gaming revenue ticked up by 3% to €180.7m.
Alongside the revenue rises, group adjusted EBITDA also increased 30% YoY, totalling €165.8m over the course of July, August and September, with a corresponding margin of 34.1%.
In April of this year, Lottomatica Group acquired SKS365 for a fee of €639m, with the business reporting in Q2 it had secured 40% of its planned synergies.
However, the latest results release has outlined a 15% increase in the total achievable synergies deriving from the integration, with the target upgraded to €75m.
The firm added that 50% of the synergies had now been secured.
Analysing the firm’s performance for the first nine months of 2024, Lottomatica noted total revenue of €1.4bn, a 19% YoY increase when compared to the same period last year.
Online operations have hit €543.6m in revenue since January, a climb of 45% when pitted against the first nine months of 2023.
Lottomatica’s retail performance in the first nine months of the year saw sports betting revenue climb 13% YoY to €313.2m, while land-based gaming contributed the lion’s share of the group’s topline figure, posting a 3% uptick to land at €560.6m.
Lottomatica Group’s year-to-date adjusted EBITDA sits at €483.1m, a 13% YoY rise.
The group also confirmed its financial guidance for full-year 2024, with the operator expecting revenue of €2bn and an adjusted EBITDA total to land between €700m and €730m.
Reflecting on both the Q3 and year to date display, Lottomatica Group CEO Guglielmo Angelozzi explained: “We are very pleased with the progress achieved so far this year. Our business has experienced double digit growth and in Q3 our online market share reached an all-time high across all verticals.
“The integration with SKS is advancing at a fast pace and we upgraded the level of synergies we expect to extract.”