PointsBet narrows FY2025 EBITDA guidance to $11M-$14M

Finance News

PointsBet Holdings has reported flat net win revnue of AU$69.9 million for its financial second quarter ended 31 December.

Revenue guidance for FY2025 was revised downward from $280 million-$290 million to $260 million-$270 million, reflecting a $20 million reduction due to adverse customer outcomes and VIP softness.

EBITDA guidance was narrowed to $11 million-$14 million from the previous range of $11 million-$16 million, indicating management’s confidence in gross profit efficiency.

Net win margin reached 10.2%, maintaining consistent performance over the past four quarters. Gross profit margins were bolstered by a reduction in low-margin turnover and improved cost efficiencies.

The Australian business maintained record PCP net win and gross profit for the fourth consecutive quarter. Gross profit efficiency rose due to targeted reductions in generosity spend, which decreased to 25% of gross win versus 32% in PCP.

Canadian operations experienced a 14% growth in H1 net win year-over-year, driven by increased sports and iGaming activity, although unfavorable outcomes in NFL betting and slots games significantly impacted Q2 results.

The iGaming portfolio in Ontario expanded with six new content providers and a 40% increase in available games, bringing the total to over 600 games.

CEO Samuel Swanell highlighted a significant improvement in EBITDA, reporting a loss of $3.3 million for H1 FY2025, a $10 million improvement from the prior corresponding period (PCP). The company achieved a full calendar year EBITDA profit of $8.2 million for 2024, marking a significant milestone in PointsBet’s history.

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