Every week, CasinoBeats breaks down the numbers behind some of the industry’s most fascinating stories. Star Entertainment Group declaring a significant full-year loss, EveryMatrix and Codere Online announcing their Q2 financials, and Svenska Spel funding five research studies into gambling addiction all feature in this week’s round-up.
Star Entertainment Group announced a huge A$2.43bn statutory net loss for the 12 months ending June 30, 2023, as the numerous challenges encountered in recent times continue to take their toll on the company.
That figure includes A$2.82bn of significant items that comprise a non-cash impairment of The Star Sydney, The Star Gold Coast and Treasury (A$2.17bn), debt restructuring costs (A$54m) and redundancy costs (A$16m).
Furthermore, A$593m in ongoing regulatory and legal costs include NICC and OLGR fines, AUSTRAC civil proceedings, unpaid NSW casino duty and costs associated with ongoing regulatory reviews.
The casino and entertainment operator has also reached an agreement with the New South Wales government to amend a proposed hike in casino tax rates.
This will result in a A$10m uplift in duty payable, however, Star suggested that the agreement is “designed to protect the jobs of thousands of NSW team members”.
EveryMatrix reported another set of record-breaking results for the second quarter of 2023, highlighting the impact of casino products driving growth.
The igaming technology provider also spotlighted the recent acquisition of DeepCI, as Group CEO Ebbe Groes noted that the company is “on course” to achieve its goals for the year.
Publishing its Q2 2023 financial update, EveryMatrix reported a seventh successive record quarter with new benchmarks for net revenue and EBITDA thanks to “strong growth and profitability in all business segments”.
Group revenue for the quarter improved by 88 per cent year-over-year to €56m, net revenue improved by 82 per cent YoY to €27.1m (Q2 2022: €14.9m) and EBITDA is up by 188 per cent YoY to €15m (2022: €5.2m), with a margin of 55 per cent (2022: 35 per cent) following a “strong conversion of Net Revenue growth into profit growth”.
Net revenue and EBITDA also improved by 15 per cent and 42 per cent in comparison to the previous quarter. The company’s cash position stands at €34m.
Svenska Spel has distributed a total of SEK 4.1m (£289,580) to a total of five independent research studies into gambling addiction, in what becomes the latest in a string of such outlays for the group.
Those selected in the group’s latest round span a quadruple of academic establishments, and will delve into issues such as the Spelpaus self-exclusion scheme, family treatment and mental health.
This latest bout of funding issued by the company’s independent research council, which was founded in 2010, takes its total allocated to SEK 45m (£3.25m) across 35 different research projects and scientific studies.
“This year’s granted research project will contribute both to increased knowledge about gambling addiction and which gambling responsibility measures work,” commented Sara Lindholm Larsson, Chair of Svenska Spel’s independent research council.
Operations in Mexico surpassed its Spanish counterpart for the first time through the second quarter, as Codere Online stressed that it is “well on track” to deliver positive EBITDA and cash flow for the full year in 2024.
As revenue increased across the digital operator’s primary regions, reduced losses through Q2 have seen Codere Online increase its guidance expectations for the full year.
In addition to the aforementioned jurisdictions, Codere Online also operates in Colombia, Panama and the city of Buenos Aires, which are completed by the wider group’s physical presence in Spain and throughout Latin America.
During the past quarter, net gaming revenue increased 33.9 per cent to €39.1m (2022: €29.2m), while net loss narrowed to €1.7m (2022: -€6.7 m) and adjusted EBITDA losses improved to €4.5m (2022: -€9.9m), with marketing and platform and content fees comprising the lion’s share. Average monthly activities enjoyed an increase, however, first-time depositors declined.
Mexican operations saw NGR increase 51.3 per cent to €18m (2022: €11.9m) and Spain tracked a 24.1 per cent uptick to €17.5m (2022: €14.1m), however, Colombia dropped fractionally to €2.1m (2022: €2.2m). ‘Other’ regions improved by 40 per cent to €1.4m (2022: €1m).
Spain saw AEBITDA increase 58.3 per cent to €5.7m (2022: €3.6m), while all other reporting regions tracked losses despite each recording improvements.
MGM Resorts International and BetMGM have launched a campaign ahead of the upcoming NFL season that will feature GameSense responsible gaming messaging inside NFL stadiums.
In total, nine NFL stadiums will be taking part in the campaign, promoting responsible gaming marketing during the season.
Those in question are Acrisure Stadium (Pittsburgh Steelers), Allegiant Stadium (Las Vegas Raiders), Empower Field at Mile High (Denver Broncos), Ford Field (Detroit Lions), GHEA Field at Arrowhead Stadium (Kansas City Chiefs), M&T Bank Stadium (Baltimore Ravens), MetLife Stadium (New York Jets), Nissan Stadium (Tennessee Titans) and State Farm Stadium (Arizona Cardinals).
The campaign announcement comes as Responsible Gaming Education Month is set to begin this month in the US, for which the pair have partnered with the American Gaming Association.
Commenting on the campaign, Rhea Loney, Chief Compliance Officer at BetMGM, said: “This is an extraordinary moment as we work with our team partners to raise awareness about responsible gaming. Throughout the season, GameSense will play a pivotal role in reminding football fans who bet, to do so responsibly.”
The Danish gambling authority, Spillemyndigheden, has successfully petitioned the district court to have 49 websites offering illegal gambling in Denmark blocked.
Those in question were reportedly mainly offering traditional casino games, such as roulette, gaming machines and poker, as well as betting. 13 were skin betting websites.
This is the ninth time that the Danish Gambling Authority has gone to court to block illegal websites, with these activities now being undertaken twice per year as opposed to on an annual basis.
Since 2012, when the gambling market in Denmark was partially liberalised, a total of 276 illegal sites have been blocked.
“It is a very important task for the Danish Gambling Authority to ensure that Danes are not exposed to gambling that is offered illegally in Denmark and that does not comply with the requirements for consumer protection, among other things, set out in the gambling legislation,” commented Anders Dorph, Director of the Danish Gambling Authority.
“At the same time, we must ensure that the gambling operators who have a licence to offer gambling in Denmark can operate on the Danish market without unfair competition from providers who do not have to live up to Danish requirements.”