Bet-at-home AG Q1 Financial Review and Outlook Amid UEFA EURO Campaigns

Bet-at-home AG disclosed its Q1 results, aligning closely with market estimates despite escalated marketing expenses. The company reported sales of €11.7 million, a 12% year-over-year decline, yet slightly higher than the anticipated €11.5 million. The betting and gaming results diverged, with Betting Gross Gaming Revenue (GGR) at €10.6 million, representing a 13% decrease year-over-year, and Gaming GGR up by 4% year-over-year to €1.1 million.

The firm’s EBITDA stood at €0.7 million, down 58% from the previous year, affected by increased marketing outlays totaling €4.5 million, essential for leveraging the UEFA EURO championship potentials in upcoming quarters. Despite this, the lower-than-expected operational costs helped moderate the financial impacts. Looking ahead, Bet-at-home projects an ambitious FY24 with expected sales between €45 million and €53 million and anticipates an EBITDA ranging from -€1 million to €2.5 million.

The ongoing legal and operational challenges, including customer claims and a liquidation process, remain aspects of concern, yet are deemed manageable. Analysts reaffirmed a 'Hold' rating on the stock with a steady target price of €5.50, anticipating that the current market challenges may affect stock performance in the short term.