The Stars Group Reveal Revenue Rise in Q2 2019
Canadian gaming giant The Stars Group has published its financial report for the second quarter for this year, revealing this has been a successful three-month period for the company.
The Stars Group recorded a 51.4% improvement in revenue figures when compared to the same period of last year, and according to the available information, Sky Betting & Gaming was the main driving force behind this increase.
Numbers Going Up
It looks like the purchase of the sports betting operator was the right thing to do, and the most recent figures indicate the company has done a good job.
The latest report also showed the company’s net earnings had gone up by a massive 140.1%. But there’s more good news for the Toronto-based firm, as the figures say its total revenue from the start of the year to June 30 reached a staggering $1.22 billion, which represent a significant increase when compared to the first six months of 2018.
Such an outcome means the Group had more than solid performance during this period since it managed to offset the drop experienced by the company’s business results abroad. However, we can’t say The Stars Group is particularly satisfied with this scenario, as its international business has stayed the main source of income for the renowned operator.
According to the latest figures, The Stars Group’s international revenue has recorded a 9.5% decline to reach $662.5 million. One positive aspect when it comes to international business was betting revenue, while all other areas witnessed their numbers go down.
Solid Performance in Australia
As far as the international front goes, The Stars Group can be especially satisfied with the performance in Australia, where the company owns sports betting operator CrownBet as well as some other assets previously owned by William Hill.
Thanks to betting revenue generated on this market, The Stars Group reported an impressive increase in revenue income of 74.4%, When compared to the corresponding period of last year, betting revenue jumped all the way up to $220.9 million, while gaming revenue reached a staggering $182.9 million.
The acquisition of Sky Betting & Gaming had a significant impact on these results. Effectively, this purchase made sure the company’s net loss of $80.5 million in the first half of the year was transformed into net earnings of $32.3 million. In turn, this lead to a 25.9% rise in the company’s earnings before interest, taxes, depreciation, and amortization (EBITDA), which reached $432.1 million at the end of the period.
It should be noted that online sports betting accounted for 36% of the entire revenue generated during the first six months of 2019. Back in the same period of 2018, this portion was considerably more conservative, with only 20%.
About The Stars Group
Founded back in 2001 as Amaya Inc., The Stars Group today represents one of the leading names in the business, producing and offering online gaming products and services to customers around the globe, including poker, offline and online Canada casinos and sportsbook through its online gaming division, Stars Interactive.
The list of online brands owned by the Canadian gaming giant include PokerStars, PokerStars Casino, BetStars and Full Tilt Poker.