World Cup Betting: The Exclamation Point on Unibet Interim EarningsPublished August 7, 2014 by Lee R
The revenue increases indicate that Unibet is efficiently adapting to local regulation.
The World Cup totals are in: Sweden's Unibet has grossed £16 million (€20.2 million/$27.5 million) from the interim period covering June and July—the months in which the 2014 FIFA World Cup took place.
Unibet Revenue Breakdown
Unibet further announced that the £51 million brought in from live betting accounted for nearly half of its World Cup sales total of £112 million. Live betting online provided a 64.6% share, down slightly from last year's 67.5%.
Unibet Performance Trend
Despite these drops, Unibet overall is faring quite well, with quarterly earnings and profit jumping substantially for the expanding operator.
Unibet's net earnings calculated as earnings before interest, tax, depreciation and amortisation (EBITDA) showed a whopping 400% plus increase from £12 million to £53.7 million. A further net indicator, profit before tax, rose almost 800%, from £6.7 million to £48.1 million.
Unibet Betting Revenue Breakdown
Over the entire first half of 2014, gross winnings revenue for sports betting provided by Unibet grew from £49 million to £64.8 million. Profit after tax rose from £17.2 million to £63.4 million.
Unibet Gross Winnings Revenue
Tjärnström described the impact of Unibet's organizational gains, “Gross winnings revenue increased 33% in local currencies which means that we are continuing to gain market shares. Of the gross winnings revenue, 29% was from locally regulated markets."
The Mobile Wagering Contribution
Unibet's mobile channel provided 32% of total gross winnings revenue and 47% of the Unibet sportsbook wagering revenue, meaning almost half of Unibet's users were betting from their mobile devices, prompting Tjärnström to add, “Strong growth in mobile casino contributed to a new all-time high in casino revenues and helped to strengthen Unibet’s existing leadership position in Western European markets with 58% organic growth.”
Unibet Core Competencies
Mobile availability and local regulation adaptability appear to be two essential components of Unibet's successful expansion to secure a leadership position in the current online gambling market.