Bally’s sees North America online revenue jump in Q4 while UK performance praised

Bally’s has posted a 6.1% year-on-year (YOY) increase in Q4 revenue to $611.7m as the group’s North American online arm demonstrated “continued igaming operating momentum”.

However, there was a 2% dip in adjusted EBITDAR as negative contributions from the North America Interactive division and other operations stymied positive gains in land-based and international online.

Additionally, Bally’s net losses for the quarter decreased from $487.5m to $263.5m

Breaking down the revenue by segment, the North America-facing online division saw revenue increase by 26.9% to $33.4m, with the relaunched Bally Bet now live in seven states, including Ohio, Colorado, and New York.

However, the arm posted an adjusted EBITDAR loss of $9.8m, with total 2023 losses for the division amounting to $55.7m.

Bally’s international interactive arm, which includes the Gamesys business, as well as Asia- and Europe-facing operations, posted a revenue increase of 2.1% YOY.

Revenue amounted to $236m, with the operator championing sustained gains in the UK.

In fact, UK revenue increased 5% YOY, with all-time high actives during the reporting period, which Bally’s recognized as lower acquisition costs and improved customer engagement and retention.

Bally’s added that its UK igaming share is around 15%, with slots market share around 17% alone.

The Rhode Island-based firm added that the recently launched Bally’s UK Casino ended the year with record high revenue after transitioning from its previous incarnation as Megaways Casino.

The international interactive division also returned a 4.3% YOY increase in adjusted EBITDAR to an all-time quarterly record of $93.2m. 

Elsewhere, land-based casino and resorts revenue rose 7.2% YOY to land at $342.3m for the operator.

During the fourth quarter, Bally’s repurchased 5.8 million shares of its common stock for an aggregate purchase price of $68.6m. 

The group also recorded total non-cash impairment charges of $122.1m, which included $54m in the international interactive division relating to a long-standing trademark acquired during the Gamesys acquisition. 

Alongside the publication of the firm’s Q4 report, Bally’s also detailed the group’s performance for full-year 2023.

Total revenue increased by 8.6% from $2.3bn to $2.5bn, with international interactive revenue reaching $973.2m and North America online revenue coming in at $112.6m.

There was also a reduction in net loss for the operator during the year, falling from $425.6m in 2022 to $172.6m.

Looking at 2024, Bally’s expects to generate full-year revenue in the range of $2.5bn to $2.7bn and adjusted EBITDAR between $655m and $695m. 

Breaking these figures down by segment, Bally’s expects casinos and resorts revenue to be between $1.4bn and $1.5bn, with an accompanying adjusted EBITDAR of between $410m and $440m. 

International interactive revenue is anticipated to land between $950m and $1bn, along with projected adjusted EBITDAR of $320m to $350m.

Finally, with the upcoming launch of igaming in Rhode Island, through which Bally’s is the monopoly operator, North America interactive revenue should fall between $150m and $200m, while an adjusted EBITDAR loss of between $25m to $35m is expected.

Reeves added: “We expect a non-linear quarterly cadence over the course of the year given various upcoming state launches and market entries, including our forthcoming igaming launch in Rhode Island and our own live dealer online experience.”