ATG revenue growth in first quarter driven by horse racing sector
Date: 2024-04-29 Author: Alex Crawford Categories: SPORTS BETTING, EVENTS
Swedish company Aktiebolaget Trav och Galopp (ATG) reported record revenues in the first quarter of 2024, reaching SEK 1.3 billion (£95.7 million/€111.7 million/$119.8 million). ) net gaming revenue (NGR). Revenue growth of 9.2% compared to last year is due to the prosperity of the horse racing sector.
Growth of the horse racing sector as a key factor
ATG's revenue growth was largely driven by growth in the horse racing sector, which amounted to SEK 968 million in NGR, up 13.3% year-on-year. Horse racing contributed 74.5% of the company's total revenue in the first quarter, driving strong comparison growth.
Diversification and growth of other segments
Apart from the horse racing sector, casino revenue also grew by 13.8%, reaching SEK 165 million NGR. However, a 10.8% decline in sports betting to SEK 173 million in NGR put some pressure on the company's overall result.
Optimistic prospects and overcoming challenges
Lotta Nilsson Vitala, ATG's chief financial officer, expressed satisfaction with the first quarter's results given the current recession. The company is focused on developing the horse racing sector and ensuring responsible gaming.
Successes and financial indicators
ATG's revenue grew 9% to SEK 1.5 billion in the quarter. Operating profit increased by SEK 72 million and the number of active customers continued to grow.
Despite its successes, the company also faced challenges from the sewer system of the gambling industry in Sweden and the increase in traffic from illegal operators.
Despite the challenges, ATG continues to experience strong growth through its horse racing sector and other strategic efforts. The company's outlook remains positive despite challenges to achieving its goals and supporting responsible gaming.
