Gaming operator Super Group has decided to leave the U.S. sports betting market at an opportune time. Super Group is a sports betting and iGaming company that owns brands like Betway and Spin. They recently announced a record $452 million in revenue in the second quarter of 2024. That is up 9% year-over-year. Ex-U.S. business generated $445 million in revenue which led to a record adjusted EBITDA of $107 million. In non-U.S. markets, average unique monthly active customers grew 21% to 4.5 million. Super Group CEO Neal Menashe had this to say.
“The second quarter of 2024 was our strongest quarter ever and demonstrates the exceptional progress we continue to make as a business,” said Menashe.”’m glad we have reached a conclusion in shutting the U.S. sports betting market and we continue more generally to optimize our global footprint both in terms of geography and product.”
Where will Super Group shift its focus after leaving most U.S. betting markets?
Super Group was on solid ground in U.S. sports betting markets but CEO Neal Menashe said that the company was tired of the “stats quo”. Additionally, 80% of Suoer Group’s revenue comes from online casinos. The only two states that will continue to have brands run by Super Group are New Jersey and Pennsylvania. While Super Group is stepping back in the U.S., Menashe said they hope to expand to other online casinos in America. Retail sportsbook operations by Super Group will end in Arizona, Colorado, New Jersey, Pennsylvania, Iowa, Louisiana, Indiana, Ohio, and Virginia.
The shutdown cost in the U.S. is $50 million and selling off the license in some states could offset those losses from shutting down. Super Group has been enjoying its success in the Canadian market and that’s where they could be shifting their focus. Ontario sports betting markets continue to thrive for Super Group. However, Alberta could be the next big thing. Menashe claims that Super Group learned from Ontario’s market and it’s prepared them for when Alberta leagalizes their market.
