Bet365 returns to profit in fiscal year 2023-24 with revenue growth and US expansion

Sports betting giant Bet365 has reported a return to profitability in its 2023-2024 fiscal year, driven by revenue growth from its sports betting operations and strategic expansion into new markets, particularly the United States.

The company’s annual filing with Companies House shows group revenue reached £3.72 billion ($4.65 billion) for the 12 months ending March 31, 2024, marking a 9% increase from the previous year’s £3.41 billion ($4.26 billion).  

The betting and gaming segment contributed £3.7 billion ($4.62 billion) in revenue, an equivalent 9% year-on-year growth. Profit before tax for the segment totaled £626.6 million ($782.97 million), although Bet365’s Stoke City FC business posted a loss of £30.3 million ($37.86 million), widening the £12.4 million ($15.49 million) loss recorded the previous year.  

CEO Denise Coates attributed the strong performance to product enhancements and significant investments in the company’s US operations. “During this period, the group has continued to invest significantly in its American platform and has successfully launched regulated products in the states of Arizona, Iowa, Indiana, Kentucky, Louisiana, North Carolina, and Pennsylvania,” Coates stated in the report.  

Sports betting revenue saw an 11% rise during the reporting period, bolstered by an additional trading week compared to the previous year and product upgrades, including Bet Builder’s expansion into new sports such as boxing, cricket, and F1.

The operator also improved its fantasy sports and virtual gaming offerings, introducing additional languages like French and Latin American Spanish.  

Despite these gains, the gaming segment reported relatively flat performance, attributed to strong prior results and market headwinds in the live casino category. The company focused on personalized experiences, including an updated games recommendation engine and exclusive offerings such as the in-house-developed Super Mega Ultra live game show.  

Bet365 donated £127 million ($158.69 million) to charity during the period, up 20.5% from the prior year, with £120 million ($149.95 million) directed to the Denise Coates Foundation. The filing also revealed that CEO Denise Coates received a £94.6 million ($118.21 million) salary, significantly reduced from the previous year’s £220.7 million ($275.78 million).  

The report noted that Stoke City FC was delisted as a Bet365 asset on July 8, 2024, with estimated demerger costs of £118 million ($147.45 million). The football club’s controlling stake is now owned by director John Coates.  

Bet365 adheres to regulatory compliance, particularly in the UK, where it is participating in the Gambling Commission’s pilot program for financial risk checks. Under this initiative, operators must flag players with net monthly deposits exceeding £500, a threshold set to drop to £150 ($187.43) in February 2025.  

The filing also addressed an ongoing anti-money laundering (AML) investigation by Australian regulator AUSTRAC, initiated in March 2024. The company is cooperating fully but stated that enforcement action is not guaranteed.  

Bet365 faced customer claims totaling £19.9 million ($24.87 million) during the period, primarily related to past activity in Germany and Austria. Despite challenges, the company remains optimistic about its growth strategy, particularly in regulated markets.  

Strategic initiatives are expected to "ensure consistent performance across its gaming products,” the filing stated.