PointsBet hails strong New Jersey performance in H219
Operator reports US revenue of $6m as high-stake bettors win $1.2m during the reporting period
PointsBet recorded $6m in US gross gaming revenue (GGR) for the second half of 2019, after paying out $1.2m to high-stakes bettors.
New Jersey accounted for 98% of the firm’s US revenue, with Iowa recording revenue of $131,316 in its first full quarter of operation.
Sharp losses resulted in a negative win margin of 8.4%, balanced out by the firm’s $1.7m profits.
Final profit margin for the period was 1.4%, considering higher targeted promotional spend than in previous periods.
The operator’s app will launch in Indiana in the coming months, with both retail and online operations expected to go live in Illinois, Colorado and Michigan by the end of the year.
In its earnings report, the firm said it was pleased with the progress made under the in-person registration operating environment.
“Client acquisition efforts are focused on local marketing and cross promotion given the current requirement for in-person sign up,” the report read.
“The learnings for Iowa marketing will be leveraged in other states which also require in-person sign up, such as Illinois.”
Group CEO Sam Swanell said the firm’s strong start in New Jersey had highlighted the company’s technology, marketing and risk management capabilities.
“As we move into new US states, our operational learnings from the competitive New Jersey market and the continually improving technology stack will provide greater efficiencies and effectiveness when launching in additional states,” Swanell said.
This was the first time the operator recorded its US earnings over a six-month period.