Mybet continues to struggle in third quarter

Online and land gambling group Mybet’s performance woes continued in the third quarter, according to the company’s Q3-2016 report Thursday, with online sports betting revenue down a whopping 39 percent year-on-year, and even the digital channel reporting a 29 percent decline in sports betting wagers.

Attempting to put a good face on things, the group’s relatively new CEO Markus Peuler urged stakeholders to look beyond the dismal metrics at the future potential as cost cutting and efficiency improvements take hold.

Overall group Q3-2016 revenue totalled Euro 34.7 million – 15.2 percent down on the preceding period last year as sports betting revenue slumped 16.2 percent year-on-year to Euro 21.4 million, while online revenue also fell 32.4 percent to Euro 6.5 million.

Retail fared a little better, climbing 4.8 percent to Euro 14.1 million, and the group’s business-to-business operations managed to generate Euro 1.6 million in revenue.

Drilling down into the numbers, casino revenue was down 23.8 percent at Euro 11.7 million during the quarter, and the sale of Mybet’s pferdewetten.de AG business helped bolster finances, leading to an overall EBITDA of Euro 4.2 million, up from a loss of Euro 6.4 million in Q3-2015.

Group net profit was Euro 3.4 million in the quarter, an improvement on last year’s loss of Euro 4.4 million.

Reporting to shareholders, Peuler observed:

“Despite the considerably lower revenue base, our EBITDA shows stable development.” He added that management was keeping a careful watch on costs to sustain the turnaround, and noted that the growth trend in revenue from Mybet’s stationary betting shop business is stable, and the group has secured financing for the coming months.

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