PointsBet points towards rise in online and sports wagering in Canada

PointsBet has drawn attention towards the increase in online gaming and sports wagering in the third quarter of 2024 in Canada. The gaming and wagering provider, based in Australia, stated that its iGaming business in Ontario’s certified markets is seeing a 53% rise in net winnings and stands at $4.9 million CAD. Incidentally, the provider only deals with sports wagering in Australia.

Though PointsBet’s sports wagering net winnings were lesser, at $3.8 million, it stood for a yearly increase of 78%. The company believes this was due to better trading margins and ongoing promotional effectiveness. Compared with the previous quarter, there was a 12% rise in wagering with cash.

The third quarter handle for PointsBet stood at $63.1 million, its gross winnings being $5.9 million, speaking of an increase of 39% and 64%.

All of this points to the fact that the company’s online casino and table games are the key segments of its business in Ontario. Many users are interested in playing online casino table games in Canada and changing their fortune. For the record, it has collaborated with Strive Gaming.

In the meantime, a short while following the finishing of the third quarter term, the final phase of selling PointsBet’s US operations to fanatics Betting and Gaming went through.

Lately, PointsBet came out with its second capital return, a matter discussed at the annual general meeting in August 2023. Following the US disinvestment, the idea was to return $408 million to its shareholders.

According to the company, the second capital return stands at $113 million, which was dependent on the trading scenario and the procedure related to the sale of PointsBet US. Along with the second return, payable on the 16th of May, shareholders have come in for a collective $394 million in returns.

PointsBet announced a decrease in the cost of sales pertaining to the quarter and sales and marketing for the period. The net cash flow amounted to $1.8 million for the third quarter, the highest ever for them.

Incidentally, the NHL Alumni Association, a marketing associate of PointsBet Canada, has sued the company for not adhering to the signed contract. This is regarding the operator terminating a long-term sponsorship agreement following the Ontario government changing its sports wagering and advertising regulations to restrict the utilization of athletes.