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PointsBet Holdings (ASX:PBH) grows revenue but records $187m FY loss

Consumer Discretionary
ASX:PBH      MCAP $156.2M
31 August 2021 11:00 (AEST)

PointsBet Denver HQ. Source: PointsBet/ LinkedIn

PointsBet Holdings (PBH) shares have dropped on its 2021 financial year results.

The online bookmaker recorded a loss of $187 million, a 351 per cent increase on last year, due to the cost of sales and operating expenses.

However, its revenue increased 159 per cent to $197 million, this was driven by growth in both Australia and US. Gross profit was 87.6 million, up from last year’s $38.2 million.

In Australia, revenue for the year was $150.7 million, a 121 per cent growth, while the US grew 506 per cent to $42.3 million.

PointsBet continued to expand its US presence over FY21 through key hires across all departments and rolling out sport betting in Illinois, Colorado and Michigan.

Over the period, PointsBet reported a 228 per cent increase in turnover to $3.7 million. This was driven by a 117 per cent annual increase in Australian active clients and 661 per cent increase in US active clients.

The company saw its gross win increase by 201 per cent to $353 million, and its net win was up 152 per cent to $207 million.

Cash at the end of the period was $276 million.

PointsBet is currently aiming to expand in Canada following the Canadian Senate passing the bill C-218 in June, legalising single event sports betting.

On the market PointsBet was down 2.45 per cent, trading at $9.96 per share at 11:24 am AEST.

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