Lottomatica Group recently released its financial performance for the third quarter of 2023, concluding in September. The Italian gambling powerhouse reported an impressive 12% overall year-on-year revenue boost, underlining its continued growth and success in the industry.
Over the nine months detailed in the report, the group achieved a gross gambling revenue of $3.0 billion, with 7% more than it recorded during the same period in 2022. After accounting for expenses and payouts, Lottomatica proudly reported a net revenue of $1.27 billion, marking a significant increase from the $1.17 billion generated in Sept. 2022.
In the initial three quarters of 2023, the company witnessed a remarkable 15% growth in its adjusted EBITDA compared to the preceding year, reaching a total of $450.8 million. This financial report marks a significant milestone as it’s the first one following Lottomatica’s successful initial public offering. Lottomatica made its debut on the Milan Euronext in May, raising an IPO of $2.4 billion.
Lottomatica observed an expansion in market share across its diverse divisions. Its online market share now stands at 21.2%, with an increase of 3.8pp compared to 2022. In the iGaming sector, there was notable growth, with a 4.5pp increase, reaching a market share of 21.7%. Additionally, the iSports division also made gains, rising by 3.1pp to attain a 20.4% market share.
Online Gambling Responsible for Lottomatica Revenue Surge
Out of the $1.27 billion in total revenue generated over the past nine months, the online division emerged as the top revenue contributor. The division experienced a remarkable 30% increase in revenue compared to the same period in 2022, reaching a total of $396.0 million. This outstanding performance in Q3 can be attributed to the significant market share growth across all online segments.
Q3 revenue from the online division surged by 40% when compared to Q3 2022. This impressive growth can be largely credited to the success of online brands within the portfolio, including Lottomatica, Goldbet, Better, and the recent addition of Betflag, acquired for $328 million in the latter part of the previous year.
“It is the growth of all online market shares that drives Lottomatica’s results in the third quarter of 2023,” the report read.
The sports franchise division achieved a noteworthy 10% growth, contributing $293.8 million to the company’s revenue. In contrast, the gaming franchise experienced a more modest 3% increase, amounting to $575.3 million. However, it did see a slight decline of 3% in Q3 compared to the same period in 2022.
Lottomatica’s sports betting wagers reached a total of $23.0 billion, reflecting a 19% increase from the previous year. The online segment witnessed an impressive 37% surge in bets placed, surpassing its 2022 performance.
CEO of Lottomatica Group, Guglielmo Angelozzi, commented on the group’s financial report:
“In this third quarter we have consolidated our leadership position, and our Online business has continued to grow market share across all product segments and brands.
“In the first nine months, we reached €426m of EBITDA, up 15% compared to the same period in 2022. We are on track to achieving our guidance for fiscal year 2023 and to continue to execute our strategy of organic and M&A growth.”