TheScore Bet reports record engagement as 50% of bettors also use media app
Operator’s betting handle surges 535% in three months to December as it considers US listing
TheScore recorded its best ever quarter in the three months to November 30, 2020 as betting handle soared 535% to C$55.8m (US$43.7m) on increased engagement across its media and betting platforms.
In Q1 of the Toronto-listed operator’s 2021 financial year, it generated GGR of C$0.3m (US$0.23m), resulting in EBITDA losses of C$9.3m (US$7.3m), up 93% annually.
Increased losses were attributed to the continued expansion of the firm’s betting business combined with the cost of player promotions in newly launched states like Colorado and Indiana.
The operator expects sports margins to normalize as it scales, although CEO John Levy did not provide a timeline for this.
“We’re seeing progress and we have targets for what we want to achieve,” Levy told analysts.
“It’s not going to take years to get there but it probably won’t happen in the next month or two either. The momentum is working in our favor,” he added.
During the quarter, 50% of theScore Bet app users also browsed the media app, promoting increased cross-app engagement.
Levy said the app experienced record betting activity during Thanksgiving and Christmas as 3.9 million monthly active users engaged with the media app, with average app usage reaching 116 times per month during the quarter.
Elsewhere, theScore is considering a US stock exchange listing to tap into US institutional investors and gain more exposure among equity analysts.
“We believe access to the US capital market would provide compelling benefits to theScore and our investor base,” CFO Alvin Lobo said.
A special shareholder meeting is scheduled for February 10 to discuss whether the operator’s board should elect a share consolidation.
Levy said the opening up of the Canadian single events wagering market, and Ontario’s pledge to launch igaming, was hugely encouraging for theScore as its userbase is significant in its home country.
He predicted Canada’s GGR for both betting and igaming could reach up to US$5.8bn once the market matured.