Not So Super Super Group Posts Mixed Bag Q3
Despite powerful performances from its African, Mid East, North America and European operations–and posting the highest third quarter revenue in its history–, Super Group has posted a mixed bag Q3 and saw its shares sink some eight percent, falling to US$3.53, on the New York Stock Exchange at close of play Thursday (Nov.9).
Although the holding company for top betting brands Betway and Spin reported a 16 percent rise in Group Revenue to a record €356.9 million (£311.93m), weak results in North America severely impacted profit margins.
Reported profit for the period–featuring a €14.2 million (£12.41m) non-cash charge associated with Super Group’s recent purchase of Digital Gaming Corp’s B2B division–was €10.6 million (£9.26m), compared to the €34.9 (£30.5m) million posted in Q3 2022.
Group EBITDA for the quarter was €53.8 million (£47.02m), despite a €10.3 million(£9m) loss from US operations.
However, Super Group saw a significant 44 percent, year-on-year, increase in Monthly Active Customers to four million in the quarter.
“[We] have delivered yet another quarter of solid results, having achieved our highest ever revenue for a third quarter, as well as new all-time highs for both our customer numbers and deposits,” affirmed Super Group CEO Neal Menashe.
“I remain encouraged by our very strong customer engagement and continued expansion of our global iGaming offering.”
Added Super Group CFO Alinda van Wyk: “For the third quarter, we delivered ex-US Revenue of €348.9 million (£304.94m) and ex-US Operational EBITDA of €64.1 million (£56.02m), which resulted in a strong margin of 18 percent.
“We continue to focus on investing for future growth and the further realization of cost efficiencies. Despite some headwinds experienced this quarter, while tight, we are reaffirming our guidance, assuming a normalized margin for the remainder of the year.”