STS Group: net profit in Q3 2022 increased by 65% YoY
Record NGR in Q3 2022 amounted to PLN 167 million
STS Group – one of the largest bookmakers in Central Europe and the market leader in Poland – generated revenue of PLN 150 million in Q3 2022, compared to PLN 119 million in the previous year. This means an increase of 25% YoY. Consolidated net profit in Q3 2022 amounted to PLN 49 million, compared to PLN 30 million in Q3 2021. This represents an increase of 65% YoY. Adjusted EBITDA in Q3 2022 amounted to PLN 73 million, compared to PLN 52 million in the previous year. This represents an increase of over 39% YoY. The net profit of the main operating company in the Group – STS S.A. – amounted to PLN 48 million from July to September 2022, compared to PLN 34 million a year before. There was a YoY increase by 42%.
Cumulatively, at the end of September 2022, the company recorded consolidated revenue of PLN 413 million, which means an increase of 8% compared to the same period last year (9M 2021 – PLN 381 million). Consolidated net profit from January to September this year amounted to PLN 111 million, compared to PLN 116 million last year. From January to September 2022, the adjusted EBITDA for the STS Group amounted to PLN 190 million, while in 9M 2021 it amounted to PLN 178 million – which represents the YoY increase of 6%. The net profit of the main operating company in the Group – STS S.A. – amounted to PLN 131 million in 9M 2022, compared to PLN 135 million a year before.
In Q3 2022, there was a high activity of players observed, which was primarily related to a very intense calendar of sporting events. Football competitions due to the World Cup in Qatar started already in the holiday season. In addition, Polish volleyball and basketball players and Iga Świątek proved their good form during international tournaments. As a result, the players had a number of opportunities to place bets. The ongoing World Cup in Qatar is a perfect event for increased acquisition of new players. Additionally, the participation of 32 teams and several dozen matches played means that the activity of bettors will certainly be high – says Mateusz Juroszek, President of the Management Board of STS Holding.
STS Group generated NGR of PLN 463 million in Q1-Q3 2022, compared to PLN 429 million a year before. From January to September 2022, the value of amounts staked by the customers of the STS Group amounted to PLN 3.300 billion, compared to PLN 3.274 billion last year. In Q3 2022 alone, the Group generated the historically highest NGR on a quarterly basis; it amounted to PLN 167 million, compared to PLN 134 million in the previous year.
In Q1-Q3 2022, the number of active users amounted to 576 thousand. From January to September this year, the Group recorded 237,000 new registrations, with 163,000 customers who made their first deposit.
On 31 October 2022, STS Holding paid an advance on dividends for 2022. The shareholders received the amount of nearly PLN 42.3 million. The advance payment per 1 share amounted to PLN 0.27. In August 2022, STS Holding paid its shareholders a dividend from the profit for 2021 in the amount of PLN 0.37 per share, i.e. a total of approximately PLN 57.9 million. This means that in 2022, our shareholders received a total of approx. PLN 100 million.
The STS Group is the largest bookmaker in Poland in terms of turnover, operating also on an international scale, thanks to the licenses in Great Britain and Estonia, from where it offers services on several markets. The products offered by the Group include sports betting, Virtual Sports, online casino (outside of Poland), BetGames and a wide range of eSports.
For many years, the group has been continuously implementing the “mobile-first” strategy based on the proprietary bookmaker system. It is constantly developing its own technology platform to meet customer needs and set market trends. The Group’s investments in the product portfolio and technological solutions in 2021 amounted to PLN 29 million. Furthermore, in 2020, STS S.A. took control of Betsys, the Czech technology company, in which it currently holds 74% of shares. Betsys is the main provider of IT solutions for the bookmaker in Poland, both for online and retail channels. In total, the Group’s product and platform development team consists of about 160 highly qualified specialists, including approximately 85 programmers, 55 other employees in technology and platform development, and 20 people dealing with business intelligence and business analytics.
STS press office
e-mail: [email protected]
About the STS Group
STS Group – one of the largest bookmakers in Central Europe and the market leader in Poland – was established in 1997. The bookmaker – outside Poland – is licensed in the UK and Estonia, from which it offers services on several markets. The portfolio of the Group includes sports betting, Virtual Sports, online casino (excluding Poland), BetGames and a wide range of eSports.
The Group provides online services not only via the desktop website, but also through its mobile version, as well as Android and iOS dedicated applications and a network of approx. 400 retail betting shops across Poland. The Group is continuously improving its offering by, among others, providing more live bets and strengthening its leading position in the field of eSports. The bookmaker has also created its own withdrawal system – STSpay – allowing for quick transfers 24/7. The Group additionally owns Betsys – the company providing betting engine.
Thanks to effective 24/7 customer service, the Group can respond to increasing customer needs. Also, the Company offers live broadcasts of sports events via STS TV, also available to users of mobile devices. Every month, the Company broadcasts nearly 5,000 sports events, including, among others, football, tennis, volleyball, basketball and other sports.
The bookmaker is actively involved in supporting Polish sport, being the largest private entity on the domestic sponsorship market. The Company is the official sponsor of the Polish National Football Team, the strategic sponsor of Lech Poznań, the main sponsor of Jagiellonia Białystok and the official bookmaker of Widzew Łódź, Lechia Gdańsk, Zagłębie Lubin, Polish Volleyball League and other clubs and sports associations. The Group also supports eSports.
The company has modern betting outlets, which are located in every major city in Poland – there are over 400 of them in total throughout the country. The group employs over 1,500 people.
In February 2019, the Group started operating on European markets. Outside Poland, the bookmaker is licensed in the UK and Estonia, from which it offers services on several markets. The group is the first Polish bookmaker to start operating abroad. In addition, the Group operates in the Czech Republic (Betsys) and Malta.
STS Holding shares debuted on the WSE on 10 December 2021. The total value of the public offering was approx. PLN 1.1 billion, while the company’s capitalization resulting from the final price was approx. PLN 3.6 billion. The investors acquired 46,874,998 shares, or 30% of the share capital of STS Holding. The average reduction in subscriptions submitted by individual investors amounted to approx. 87.2%. Mateusz Juroszek and his family maintain 70% of the shareholding in the company.