Quick Facts / Company Snapshot
- Headquarters Location: Regeringsgatan 28, 111 53 Stockholm, Sweden
- Stock Exchange Listing: Nasdaq Stockholm Large Cap (Ticker: BETS-B)
- Total Revenue (2024): €1,106.6 million
- Operating Income (EBIT) (2024): €256.7 million
- EBIT Margin (2024): 23.2%
- Net Income (2024): €183.7 million
- Earnings Per Share (2024): €1.32
- Total Equity (2024): €857.7 million
- Total Assets (2024): €1,367.2 million
- Number of Employees: 2,660
- Number of Nationalities: 70+
- Global Presence: Offices in 21 countries
- Gaming Licences: Held in 22 countries
- Registered Customers: 29,353,112
- Active Customers: 1,348,392
- Dividend Per Share (Proposed 2024): €0.76 (Ordinary €0.66 + Special €0.10)
- Casino Revenue Share: 72% of total revenue
- Sportsbook Revenue Share: 27% of total revenue
- Proprietary Platform Revenue: Approximately 90% of revenues generated on own tech stack
Company Overview
Betsson AB operates as a holding company that invests in and manages fast-growing companies within the online gaming industry. As one of the largest online gaming groups globally, the company maintains an ambition to outgrow the market both organically and through strategic acquisitions. The operational focus is on delivering the best customer experience in the gaming industry through its subsidiaries, which hold gaming licences in numerous jurisdictions across Europe, Africa, North America, and South America.
The company’s vision is centered on delivering the premier customer experience in the industry. Its mission is to serve as a long-term, leading online gaming company, while its ambition is to be a customer-centric organisation that sustainably outpaces market growth. The business model is built upon a foundation of proprietary technology, which grants the group control, flexibility, and scalability. This technological independence allows for rapid adaptation to new market conditions and regulatory requirements.
Betsson’s operations are characterized by a clear organizational structure where the Parent Company handles strategy, corporate governance, internal control, and financial communication. The operational subsidiaries are tasked with running the gaming business, including platform development, gaming site maintenance, product development, brand management, and regulatory compliance.
Core values that guide the corporate culture and employee interactions include “One Betsson,” “Passion,” and “Fair Play.” These values emphasize teamwork, integrity, and dedication. The company places significant emphasis on sustainability, treating it as an integral component of the business strategy. This includes a strong focus on responsible gaming, ethics, employee welfare, social impact, and climate responsibility.
Business Segments
Betsson AB reports its operations as a single operating segment, reflecting its integrated business model. However, revenue is generated through three distinct product categories. The company evaluates its operations based on revenue metrics across these categories.
1. Casino
- Revenue (2024): €795.4 million
- Share of Total Revenue: 72%
- Operational Scope: This is the largest segment for Betsson. It encompasses a massive library of approximately 6,000 different games. The offering includes slots (virtual gaming machines) and classic table games such as roulette and blackjack. A significant portion of this segment involves “Live Casino,” where table games are broadcast live from studios to provide a realistic casino experience. The games use random number generators that are tested and approved by independent institutes to ensure fairness.
2. Sportsbook
- Revenue (2024): €303.4 million
- Share of Total Revenue: 27%
- Operational Scope: The sportsbook allows customers to place bets on a wide variety of sports and events. This product is offered via a proprietary platform that can be adapted to specific market demands and sporting events. It supports both pre-match and live betting. The sportsbook is available directly to consumers (B2C) and is also offered as a managed solution to other operators (B2B). In 2024, the company strengthened this segment through the acquisition of Sporting Solutions, enhancing its trading, pricing, and risk management capabilities.
3. Other Products
- Revenue (2024): €7.7 million
- Share of Total Revenue: 1%
- Operational Scope: This segment includes revenue from other gaming products such as poker, bingo, and scratch cards. While smaller in financial contribution compared to Casino and Sportsbook, these products serve to diversify the portfolio and retain specific customer segments looking for variety beyond traditional betting and casino games.
History and Evolution
Betsson possesses a heritage spanning over 60 years, with roots tracing back to the establishment of AB Restaurang Rouletter in 1963 by Bill Lindwall and Rolf Lundström.
- 1963: Foundation of AB Restaurang Rouletter by Bill Lindwall and Rolf Lundström.
- 1972: The cherry brand is registered.
- 1998: Acquisition of a minority share in Net Entertainment.
- 2000: Acquisition of a minority share in Betsson.com.
- 2003: Cherry acquires a stake in the British sports betting company Betsson.com.
- 2005: Cherry acquires the remaining shares in Betsson.com.
- 2006: Cherryföretagen divides into three distinct companies: Betsson (focusing on internet gaming), Cherry (land-based gaming), and Net Entertainment (game development). Betsson is distributed to shareholders and listed on the stock exchange.
- 2011: Expansion into regulated markets begins with the acquisition of a licence in Italy.
- 2012: Market entry into Estonia and Denmark via local licences. Acquisition of Nordic Gaming Group.
- 2015: Expansion into the United Kingdom and Georgia.
- 2016: Entry into Ireland, Latvia, Lithuania, and Germany.
- 2017: Market entry in Spain.
- 2019: Entry into the regulated Swedish market.
- 2020: Expansion into Argentina (Province of Buenos Aires), Colombia, and Croatia.
- 2021: Entry into Greece.
- 2022: Market entry in Nigeria. Launch of the B2B sportsbook offering.
- 2023: Entry into Canada (Ontario), Belgium, Serbia, and France. Acquisition of betFIRST.
- 2024: Market entry in Peru. Acquisition of Holland Gaming Technology Ltd and Holland Power Gaming B.V. Acquisition of Sporting Solutions from FDJ Group. Attained AAA rating from MSCI ESG Ratings. Revenue surpassed €1 billion for the first time.
Products and Services
The company offers a comprehensive suite of online gaming products, primarily delivered through its proprietary technology platform.
Casino Games
- Revenue: €795.4 million
- Overview: The portfolio includes roughly 6,000 games. The primary categories are slots and table games. Slots operate using certified random number generators. Table games include variations of Blackjack, Roulette, and Baccarat.
- Live Casino: A key component where games are broadcast in real-time with human dealers, providing an immersive experience.
Sports Betting (Sportsbook)
- Revenue: €303.4 million
- Overview: Offers betting opportunities on a vast array of sports events globally. Features include pre-match betting, live in-play betting, and specific features like “Bet Builder.” The product is supported by sophisticated risk management and trading tools, recently bolstered by the integration of Sporting Solutions’ technology.
Poker and Bingo
- Revenue: Included in “Other Products” (€7.7 million)
- Overview: Provides platforms for peer-to-peer poker gaming and bingo rooms. These products complement the core offerings and assist in customer retention.
B2B Solutions
- Overview: The company offers its proprietary technology platform and sportsbook as a Business-to-Business (B2B) solution. This includes the Player Account Management (PAM) system which handles payments, customer information, and transactions. B2B revenue accounted for 26% of Group revenue in 2024.
Brand Portfolio
Betsson operates a multi-brand strategy to target different demographics and regions effectively.
- Betsson: The flagship global brand offering a comprehensive suite of casino and sports betting products. It serves as the primary identity for the group in many major markets.
- Betsafe: A brand known for its adventurous and edgy positioning, offering casino and sports betting.
- NordicBet: Historically focused on the Nordic region, offering extensive sports betting coverage of local leagues alongside casino games.
- StarCasino: A leading casino brand primarily focused on the Italian market.
- Inkabet: A prominent brand in the Latin American market, acquired to strengthen presence in the region.
- Jalla Casino: A casino-focused brand designed for speed and simplicity.
- RaceBets: Specializes in horse racing betting.
- betFIRST: A leading brand in Belgium offering sports betting and casino games.
- Europebet: The primary brand for operations in Georgia.
- Rizk: Known for its unique “Wheel of Rizk” gamification feature.
- Guts: Offers sports betting and casino.
- Kaboo: A casino brand with a distinct sci-fi theme.
- Thrills: A casino brand focusing on a stylish and simple user experience.
- SuperCasino: Focused on the casino vertical.
- LiveRoulette: Specialized in live dealer games.
Geographical Presence
Betsson has a diversified geographical footprint, with operations spread across four main reporting regions. The company holds licences in 22 countries.
1. Central and Eastern Europe and Central Asia (CEECA)
- Revenue (2024): €472.8 million
- Share of Total Revenue: 43%
- Key Markets: Georgia, Estonia, Latvia, Lithuania, Croatia, Greece, Serbia.
- Operations: This is the largest region by revenue. It includes significant operations through brands like Europebet in Georgia.
2. Latin America
- Revenue (2024): €253.9 million
- Share of Total Revenue: 23%
- Key Markets: Argentina, Colombia, Peru, Brazil.
- Operations: A rapidly growing region driven by recent regulations and brand expansion. In 2024, licences were obtained in Peru, and the company prepared for the regulated market in Brazil.
3. Western Europe
- Revenue (2024): €184.5 million
- Share of Total Revenue: 17%
- Key Markets: Italy, Belgium, Germany, Ireland, United Kingdom.
- Operations: Includes established regulated markets. Growth in this region was supported by the acquisition of betFIRST in Belgium and strong performance in Italy.
4. Nordics
- Revenue (2024): €179.5 million
- Share of Total Revenue: 16%
- Key Markets: Sweden, Denmark.
- Operations: The company’s historical home market. Revenue share has decreased relative to other regions as the company diversifies globally.
5. Rest of World
- Revenue (2024): €15.9 million
- Share of Total Revenue: 1%
- Key Markets: Nigeria, Canada (Ontario).
- Operations: Includes emerging markets and newer entries like Ontario.
Physical Footprint
- Operational Headquarters: Malta (Approx. 50% of employees)
- Registered Office: Stockholm, Sweden.
- Offices: Located in 21 countries including Georgia, Greece, Hungary, Estonia, Lithuania, Colombia, Argentina, and others.
Financial Performance Analysis
The financial year 2024 was a record-breaking year for Betsson, characterized by substantial growth in revenue and operating income.
- Revenue Growth: Revenue increased by 17% year-over-year, reaching €1,106.6 million.
- Operating Income Growth: EBIT increased by 22% to €256.7 million.
- Operating Margin: The margin improved to 23.2% from 22.2% in the previous year.
- Organic Growth: The company continued to deliver strong organic growth alongside contributions from acquisitions.
Profit and Loss Analysis
- Total Revenue: €1,106.6 million
- Cost of Services Provided: -€386.9 million
- Gross Profit: €719.7 million
- Gross Margin: 65.0%
- Operating Expenses:
- Marketing Expenses: -€138.1 million
- Personnel Costs: -€157.8 million
- Other External Expenses: -€139.0 million
- Capitalised Development Costs: €31.2 million (Positive impact)
- Depreciation and Amortisation: -€59.2 million
- Other Operating Income/Expenses: -€0.2 million
- Operating Income (EBIT): €256.7 million
- Net Financial Items: -€23.1 million
- Financial Income: €7.6 million
- Financial Expenses: -€30.7 million
- Profit Before Tax: €233.7 million
- Income Tax: -€50.0 million
- Net Income: €183.7 million
- Attributable to Shareholders: €181.3 million
- Attributable to Non-controlling Interests: €2.4 million
Balance Sheet Analysis
Assets
- Total Assets: €1,367.2 million
- Non-Current Assets: €788.5 million
- Intangible Fixed Assets: €735.7 million (Includes Goodwill of €483.3 million and Brands of €183.4 million)
- Property, Plant, and Equipment: €8.4 million
- Right-of-Use Assets: €11.8 million
- Current Assets: €578.8 million
- Cash and Cash Equivalents: €308.5 million
- Other Receivables: €171.0 million
- Tax Assets: €52.6 million
Equity and Liabilities
- Total Equity: €857.7 million
- Non-Current Liabilities: €191.8 million
- Bond Loan: €173.0 million
- Deferred Tax Liabilities: €12.1 million
- Current Liabilities: €317.7 million
- Accounts Payable: €24.4 million
- Tax Liabilities: €96.9 million
- Other Liabilities: €110.3 million
- Accrued Expenses: €79.5 million
Ratios & Position
- Equity/Assets Ratio: 62.7%
- Return on Equity: 22.4%
- Return on Capital Employed: 25.9%
- Net Debt / EBITDA: -0.4 (Indicates a net cash position)
Cash Flow Analysis
- Cash Flow from Operating Activities: €272.9 million
- Includes adjustments for depreciation of €59.2 million and paid income tax of -€26.9 million.
- Cash Flow from Investing Activities: -€93.3 million
- Acquisitions of Intangible Assets: -€47.7 million
- Acquisitions of Subsidiaries: -€36.4 million
- Cash Flow from Financing Activities: -€107.0 million
- Share Redemption Programme: -€90.2 million
- Bond Redemption: -€103.1 million
- Raised Bond Loan: €98.6 million
- Total Cash Flow for the Year: €72.6 million
- Cash Conversion: 86% (Operating cash flow / EBITDA)
Board of Directors and Leadership Team
Board of Directors
- Johan Lundberg (Chair): Elected 2018. Member of Audit Committee and Chair of Remuneration Committee. Independent. Founding partner of NFT Ventures. Holdings: 20,000 B shares.
- Pontus Lindwall (CEO): Board member since 2021 (previously 2011-2018). Dependent in relation to major owners and the company. Holdings: 915,000 A shares, 965,000 B shares, 304,000 call options.
- Peter Hamberg: Elected 2021. Member of Remuneration Committee. Dependent in relation to major owners. Holdings: 5,098,500 A shares, 889,000 B shares.
- Eva de Falck: Elected 2022. Chair of Audit Committee. Independent. Senior Legal Advisor. Holdings: 1,335 B shares.
- Eva Leach: Elected 2022. Member of Audit Committee. Independent. Holdings: 4,005 B shares.
- Louise Nylén: Elected 2019. Member of Remuneration Committee. Independent. CEO/Founder of Baibe. Holdings: 2,000 B shares.
- Tristan Sjöberg: Elected 2022. Dependent in relation to major owners. Partner at Knutsson Holdings AB. Holdings: 3,010,000 A shares, 3,840,000 B shares.
Group Management
- Pontus Lindwall: President and CEO.
- Martin Öhman: Chief Financial Officer (CFO). Employed since 2019. Holdings: 7,130 B shares.
- Triin Toomemets Krasnitski: Chief Legal Officer (CLO). Employed since 2012. Holdings: 59,969 B shares.
- Jesper Svensson: Operational CEO. Employed since 2013. Holdings: 141,257 B shares.
- Kristian Saliba: Operational CFO. Employed since 2008. Holdings: 63,981 B shares.
Subsidiaries, Associates, Joint Ventures
The company operates through a vast network of subsidiaries. Selected entities include:
Major Subsidiaries (100% Ownership unless stated)
- Betsson Malta Holding Ltd (Malta): A central holding entity for operations.
- BML Group Ltd (Malta): A key operational subsidiary.
- Europebet LLC (Georgia): Operates the Europebet brand.
- Zecure Gaming Ltd (Malta): Operational entity for gaming services.
- Betsson France SA (France): 100% ownership.
- Betsson U.S. Corp. (USA): 100% ownership.
- Colbet S.A.S. (Colombia): 98% ownership.
- RaceBets International Limited (Malta): 100% ownership, specializes in horse racing.
- Sporting Solutions Services Limited (UK): 100% ownership, provides B2B sports services.
- Betmed Ltd (Malta): 80% ownership.
- Topgames d.o.o. (Croatia): 75% ownership.
Associates
- Strive Platform Ltd (UK): 47% ownership. Book value €6.5 million.
- Bukmacherska Sp. z o.o. (Poland): 49.9% ownership via Great Pike Investments AB. Book value €1.7 million.
- JDP Tech Ltd (Malta): 50% ownership. Book value €9.7 million.
Physical Properties
Betsson does not have traditional manufacturing plants but operates through offices in 21 countries.
- Malta: Operational headquarters with approximately half of the employees (1,289).
- Sweden: Registered office and parent company functions (Regeringsgatan 28, Stockholm).
- Georgia: Significant operational presence with 253 employees.
- Other Office Locations: Greece, Hungary, Estonia, Lithuania, Colombia, Argentina, Croatia, Brazil, Serbia, United Kingdom, Belgium, USA, Latvia, Gibraltar, Luxembourg, Canada, South Africa.
Segment-wise Performance
Operational Performance
- Casino: Revenue grew by 18% in 2024 to €795.4 million. The segment continues to drive the majority of the group’s income.
- Sportsbook: Revenue grew by 4% excluding currency effects, or increased to €303.4 million in reported terms.
- Active Customers: The number of active customers remained stable at approximately 1.35 million.
Regional Movements
- CEECA: Continued strong growth, reaching €472.8 million revenue (up from €399.8 million in 2023).
- Latin America: Experienced robust growth, reaching €253.9 million revenue (up from €201.6 million in 2023).
- Western Europe: Revenue increased significantly to €184.5 million (up from €135.0 million in 2023), partly due to acquisitions.
- Nordics: Revenue declined to €179.5 million (down from €196.1 million in 2023).
Founders
- Bill Lindwall: Co-founder of AB Restaurang Rouletter in 1963, the precursor to Betsson.
- Rolf Lundström: Co-founder of AB Restaurang Rouletter in 1963.
Their legacy continues through family involvement in the company’s major shareholdings and leadership, specifically through Pontus Lindwall (current CEO and son of Bill Lindwall).
Shareholding Pattern
As of 31 December 2024, the company had 29,963 shareholders.
Major Shareholders (by Voting Rights)
- Hamberg Förvaltning AB: 18.7% votes, 3.6% capital.
- Knutsson Holdings AB: 12.3% votes, 4.6% capital.
- Lars Kling: 9.7% votes, 2.5% capital.
- Berit Lindwall: 6.2% votes, 1.2% capital.
- Provobis Holding AB: 4.9% votes, 1.0% capital.
- Pontus Lindwall: 3.7% votes, 1.3% capital.
Institutional Holdings
- Fidelity Investments (FMR): 3.4% votes, 6.4% capital.
- DNB Asset Management AS: 2.5% votes, 4.8% capital.
- Avanza Pension: 1.8% votes, 3.4% capital.
- Vanguard: 1.6% votes, 3.1% capital.
Foreign Ownership
- Capital: 55% held by foreign owners.
- Votes: 37% held by foreign owners.
Investments and Capital Expenditure Plans
- Total Investments (2024): €50.0 million.
- Capitalised Development: €31.2 million was invested in capitalised development expenditure.
- Focus Areas: Investments were primarily directed towards IT hardware, the development of gaming platforms, and the integration of gaming and payment solutions.
- Acquisition Expenditure: Cash flow from investing activities included €36.4 million for acquisitions of shares in subsidiary companies.
- Strategic Priorities: Continued development of the proprietary technology platform to ensure flexibility, scalability, and speed to market remains a top priority.
Future Strategy
Betsson’s strategy focuses on sustainable growth through four strategic growth areas:
- Growth in Existing Markets: Prioritizing segments where the group is best placed to offer leading products with good efficiency.
- Expansion into New Markets: Leveraging the global brand and scalable platform to establish a presence in new jurisdictions quickly. A specific focus remains on Latin America and CEECA regions.
- B2B Opportunities: Utilizing the proprietary sportsbook and platform to offer managed solutions to other operators, realizing further economies of scale.
- Acquisitions: Using the strong financial position to acquire companies that complement organic growth, create synergies, or accelerate geographic expansion.
2025 Outlook
- Geographical Expansion: Continued focus on diversification.
- Brazil: In February 2025, the group obtained a local licence for the newly regulated market in Brazil, covering online casino and sports betting.
- Product Development: Enhancing the customer experience through new features in the sportsbook and casino offering.
Key Strengths
- Proprietary Technology: Approximately 90% of revenue comes from the own platform, ensuring control and flexibility.
- Diversified Revenue Stream: Balanced revenue mix across Casino (72%) and Sportsbook (27%), and geographically across CEECA, LatAm, and Western Europe.
- Financial Robustness: Strong balance sheet with an equity/assets ratio of 63% and high cash conversion of 86%.
- Operational Excellence: Scalable business model evidenced by an improved EBIT margin of 23.2%.
- Sustainability Leadership: AAA rating from MSCI ESG Ratings.
- Global Brand Portfolio: A mix of global brands (Betsson) and strong local brands (Inkabet, Europebet, betFIRST).
Key Challenges and Risks
Regulatory Risks
- Regulation Changes: Developing gaming regulations in various markets can lead to increased taxes or marketing restrictions.
- Compliance: The risk of non-compliance with complex local laws (AML, responsible gaming) which could result in fines or licence loss. For instance, in 2024, a subsidiary paid a settlement of €917,000 to the Isle of Man regulator.
- Market Exits: Regulatory changes led to the decision to cease operations in Norway in December 2024 and surrender the B2C licence in Colorado.
Operational Risks
- Cyber Security: Risks related to data privacy and information security breaches.
- Tech Reliability: Dependence on the continuous operation of the technology platform.
Financial Risks
- Currency Exposure: Revenue and expenses are affected by fluctuations in currencies such as the Turkish Lira, Georgian Lari, and various Latin American currencies against the Euro.
- Taxation: Introduction of Pillar 2 global minimum tax rules has increased the effective corporate tax rate.
Conclusion and Strategic Outlook
Betsson AB concluded 2024 with record-breaking financial performance, surpassing €1 billion in revenue and achieving its highest-ever operating income. The company’s strategic focus on geographic diversification, particularly in high-growth regions like Latin America and CEECA, combined with a robust B2B offering, has proven highly effective.
The company is well-positioned for future growth, supported by a strong balance sheet, a proprietary technology stack that enables scalability, and a committed leadership team. The acquisition of Sporting Solutions and entry into new regulated markets like Brazil signal a continued aggressive expansion strategy. While regulatory challenges persist in certain mature markets like the Nordics, Betsson’s adaptable business model and commitment to sustainability and compliance provide a solid foundation for long-term value creation.
Official Site: https://www.betssonab.com/
FAQ Section:
- What was Betsson AB’s total revenue in 2024? Betsson AB reported a total revenue of €1,106.6 million in 2024, marking a 17% increase from the previous year.
- Which region contributes the most to Betsson’s revenue? The Central and Eastern Europe and Central Asia (CEECA) region is the largest contributor, accounting for 43% of total revenue (€472.8 million).
- What is Betsson’s proposed dividend for 2024? The Board has proposed a total dividend of €0.76 per share, consisting of an ordinary dividend of €0.66 and a special dividend of €0.10.
- Does Betsson use its own technology? Yes, approximately 90% of the Group’s revenues are generated through its proprietary technology platform.
- How many active customers does Betsson have? As of the end of 2024, Betsson had 1,348,392 active customers.
- Who is the CEO of Betsson AB? Pontus Lindwall serves as the President and Chief Executive Officer (CEO) of Betsson AB.
- What are Betsson’s primary product segments? The primary segments are Casino (72% of revenue) and Sportsbook (27% of revenue).
- What major acquisitions did Betsson make in 2024? Betsson acquired Sporting Solutions from FDJ Group and Holland Gaming Technology Ltd in 2024.
Content is based on publicly available corporate filings, regulatory disclosures, annual reports, 10-K filings, Investor Relations materials, and direct mail communication with the company.
