betr Posts 140% Turnover Growth and $7.2M EBITDA Profit in FY25
betr Entertainment Limited posts a 140% turnover increase to $1.42 billion and achieves a positive EBITDA of $7.2 million in FY25, driven by strategic mergers and market exits. The company ups its takeover bid for PointsBet, signaling aggressive consolidation ambitions.
- 140% turnover growth to $1.42 billion in FY25
- Positive normalised EBITDA of $7.2 million achieved
- Successful integration of BlueBet and TopSport with synergies ahead of schedule
- Exited US market to focus on Australian operations
- Increased takeover offer for PointsBet to $1.40 per share with $90 million selective buy-back
Strong Financial Performance and Strategic Growth
betr Entertainment Limited has delivered a standout FY25 result, reporting a 140% surge in turnover to $1.42 billion and a positive normalised EBITDA of $7.2 million. This marks a significant turnaround from the previous year, reflecting the company’s successful execution of its growth strategy and operational efficiencies.
The company’s financial uplift was underpinned by the seamless integration of BlueBet and TopSport, two key acquisitions that expanded betr’s customer base and enhanced its platform capabilities. Notably, betr achieved $16.9 million in synergies ahead of schedule, demonstrating effective cost management and operational alignment.
Strategic Market Moves and Operational Focus
In a decisive move to sharpen its focus, betr exited the US market in September 2024 on favourable financial terms, redirecting resources to consolidate its position in the Australian wagering market. This strategic exit aligns with the company’s ambition to capture over 10% market share domestically through both organic growth and further acquisitions.
FY25 trading metrics showed consistent improvement, with 155,420 cash active clients and enhanced net win margins, reflecting the benefits of migrating customers onto betr’s proprietary platform. The company also invested heavily in marketing and employee capabilities, with expenses rising to support brand growth and product innovation.
Aggressive Takeover Bid for PointsBet
betr has escalated its takeover offer for PointsBet to $1.40 per share, surpassing the competing MIXI bid of $1.25. This increased offer is accompanied by a $90 million selective buy-back, signaling betr’s commitment to consolidating its market position through inorganic growth. Current shareholder support exceeding 75% reinforces confidence in the bid’s success.
The company’s repeatable M&A model and focus on scalable, profitable growth position it well to capitalize on ongoing market consolidation trends. With regulatory compliance and product innovation at the forefront, betr aims to leverage its enhanced platform and customer engagement tools to sustain momentum into FY26.
Looking Ahead
As the Australian wagering market stabilizes with subdued growth and intensified competition, betr’s strategy of combining organic expansion with strategic acquisitions could reshape the competitive landscape. The company’s focus on machine learning, promotions, and rapid product releases ahead of key betting seasons underscores its intent to maintain a leadership position.
Bottom Line?
betr’s FY25 results and bold PointsBet offer set the stage for a transformative phase in Australia’s wagering sector.
Questions in the middle?
- Will regulatory approvals support betr’s increased PointsBet takeover bid?
- How effectively can betr sustain margin improvements amid rising marketing and employee costs?
- What impact will betr’s US exit have on its long-term international growth ambitions?