The Stars Group Revenue 2018 Rises After Recently Obtained Businesses

The Stars Group experienced numerous ups and downs during 2018, but as far as recent reports regarding the company’s revenue claim…

…the positive trend is what summarizes the year behind them.

What seems to be the driving force behind rising income is the acquisition of two of the industry’s significant brands – BetEasy and Sky Betting & Gaming.

Company’s Finances Encountered Numerous Fluctuations

The revenue for the year went up 9.7 % year-on-year including the contribution from international businesses, which comprises the PokerStars, PokerStars Casino, and BetStars brands. Speaking in precise numbers, these contributed with $1.3bn, bringing the total revenue amount to $2.0bn.

Despite these encouraging numbers which inevitably show the growth…

…they still had to post a loss for 2018!

It was increased investments in sales, and marketing, lofty istrative costs and a plethora of various financial expenses to blame for the drop.

BetEasy and Sky Bet Assets to Save the Day

Speaking in geographical , BetEasy, the Australian business, gave a significant contribution mainly from sports betting. If we are to believe what the numbers say, it’s $196.3m.

Meanwhile, on the other side of the world…

… the UK division, Sky Bet, gave a total contribution of $394.1m.

Like with BetEasy, the major part of revenue came from sports betting ($215.9m), followed by the one from gaming vertical ($157.5m). The smallest share came from poker – $5.9m.

Organic Growth Despite Obstacles

The Stars Group CE, restrictions in certain markets…

…the organic growth of international business was noticed.

What he points out as the highlight is the acquisition of BetEasy in Australia as well as Sky Betting & Gaming in the UK. The group is currently present in 21 jurisdictions around the globe. In addition to this…

…they are establishing solid foundations to boost their presence in the US.

Big Plans For 2019 And Ahead

Looking back at the first two months of the current year, Mr. Ashkenazi is positive that they stand a big chance of putting their leading positions to an even higher level. These plans could easily become reality if they know how to…

…take advantages of their strong brands and noteworthy expertise in operating in attractive markets.

“We are pleased with our performance in the first two months of the year, underpinning our confidence in our financial guidance for 2019, and we are currently on track to deliver the full $70 million in cost synergies from the acquisition of Sky Betting & Gaming within the current year alone, with potential opportunities for incremental synergies under review.”

Time will show whether these great business plans and decisions will have positive outcomes.

Source:

“Acquired assets boost The Stars Group revenue in 2018”, igamingbusiness.com, March 6, 2019.