PriceSensitive

BlueBet (ASX:BBT) posts $125.9m turnover in Q3

Consumer Discretionary
ASX:BBT      MCAP $60.24M
28 October 2021 13:00 (AEST)
Bluebet (ASX:BBT) - Executive Chairman, Michael Sullivan

Source: Chris Pavlich via realestate.com.au

Online bookmaker BlueBet (BBT) has seen a rise in its share price after revealing its operational activities and financial results from the September quarter.

BlueBet, which offers wagering products on 31 sports in Australia and internationally, said it experienced financial growth on multiple fronts.

Namely, it recorded $125.9 million in turnover for the September quarter, up 67.4 per cent compared to the same period last year. The company also saw a net win of $14.8 million, representing an 87.6 per cent increase from $7.9 million in the September quarter of 2020.

Regarding active customers — those who have placed a cash bet within the last 12 months — the company had 39,195, representing an almost 64 per cent jump from the year before. It also recorded about $32 million in customer receipts during the quarter.

The company generated $3.34 million in operating cashflow after spending about $4.1 million on product manufacturing and operating costs. It also spent roughly $2.6 million on advertising and marketing, and another $4.4 million on staff and admin costs.

However, BlueBet’s major focus during the quarter was on entering the US market. The licencing process in Iowa remains on track after an agreement with Q Casino was approved by the Iowa Racing and Gaming Commission. It expects to start taking first bets from Iowa in March 2022.

The company also sought additional licences and plans to keep expanding its presence in the US as more and more states make sports betting operational. Industry commentators see up to 40 states legalising sports betting by 2023 versus the current 21 states where it is live and operational.

BlueBet did however withdraw its application for a sports betting permit in Virginia after regulators advised that licences would be granted to operators with experiences in other states.

BlueBet rounded off the quarter with a healthy $57.8 million in cash and said it’s well funded to achieve its objectives and planned activities.

Company shares were up 14.7 per cent to trade at $1.99 at 12:54 pm AEDT.

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