Online gambling operator The Stars Group (TSG) posted a profit in the final quarter of 2019 as sports betting revenue eclipsed contributions from the online casino and poker verticals.
Figures released Thursday by the Toronto-based TSG show total revenue of US$688m in the final three months of 2019, up 5.4% from Q4 2018. Adjusted earnings rose 4.1% to $249.1m but operating income rose by one-quarter to $92.4m and the company booked a net profit of $81.3m versus a $38.2m loss in Q418.
For the year as a whole, revenue was up nearly one-quarter to $2.53b, adjusted earnings gained 18% to $781m, operating income nudged up 1.6% to $264.2m and the company swung from a net loss of $109m to net earnings of $61.8m.
The Q4 revenue gains were credited to a strong showing by the UK-facing Sky Betting & Gaming (SBG) business and Australia’s BetEasy brand. Sports betting’s share of the Q4 revenue pie was up nearly five points to 39.1%, while online casino was up less than one point to 30.8% and the formerly dominant poker vertical plunged 5.3 points to 27.5%.