Betsson AB Q3 2023 Earnings Call Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Georg Attling - Pareto Securities - Analyst : Good morning, guys, and congrats on the another strong quarter. I just have a couple of questions starting with the B2B revenues down 14% sequentially. If you could just help us break down the contributors to that lower quarterly revenue over Q2?

Question: Georg Attling - Pareto Securities - Analyst : Okay, that's helpful. Thanks very much. And on my second question on the marketing outlook, of course, coming down quite sharply year over year, the marketing spend, how should we look at the Q4 and next year? Is this sort of a new base to grow from or is this a uniquely low quarter?

Question: Georg Attling - Pareto Securities - Analyst : Okay. And can you quantify the sort of the impact from that reseller of marketing in Netherlands?

Question: Georg Attling - Pareto Securities - Analyst : Yeah, okay. And on just the capital allocation side, as you said, a very, very strong balance sheet and also very low valuation on the stock. But you have been more pursuing M&A in the last couple of quarters. Could you just discuss sort of the buyback versus M&A going forward giving -- given the overcapitalization you have?

Question: Georg Attling - Pareto Securities - Analyst : Well, that makes sense. And just the final question on betFIRST, you say that you have all the sort of the regulatory things in place to launch the casino offerings, could you provide a timeline of such a launch?

Question: Georg Attling - Pareto Securities - Analyst : Perfect. That's all for me. Thank you very much.

Question: Martin Arnell - DNB Markets - Analyst : Hi, everyone. Good morning.

Question: Martin Arnell - DNB Markets - Analyst : So my first question is on the -- let's talk about the trading statement. Well -- it looks really strong given the fact that the sports margin was low in here in the period. What is driving this? Is it new markets or can you elaborate a little bit more?

Question: Martin Arnell - DNB Markets - Analyst : So it's mainly like activity [drill] and the trading statement that's not so strong.

Question: Martin Arnell - DNB Markets - Analyst : Okay. And it's broad based. It's both Europe and LatAm.

Question: Martin Arnell - DNB Markets - Analyst : Okay. And speaking of LatAm, how do you view the outlook? For example, Brazil is really interesting to talk about, what does your team think when discussing Brazil? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. OCTOBER 26, 2023 / 8:00AM, BETSb.ST - Q3 2023 Betsson AB Earnings Call

Question: Martin Arnell - DNB Markets - Analyst : Are you signing partnership deals or -- I remember you did that quite a while ago, but is it happening, the commercial work that you're doing? Are you doing stuff there or?

Question: Martin Arnell - DNB Markets - Analyst : And the performance in LatAm, is it still mainly -- the growth, the incremental revenue, is it still mainly Peru that is behind it?

Question: Martin Arnell - DNB Markets - Analyst : Yeah, I noted you did a lot of things in Argentina in this quarter, for example, but -- okay. Thanks.

Question: Martin Arnell - DNB Markets - Analyst : And --

Question: Alice Beer - ABG Sundal Collier - Analyst : Good morning. I am standing in for Oscar today. I'm just wondering if you could shed some lights on the -- what do you think about the casino signing in Belgium? Thank you. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. OCTOBER 26, 2023 / 8:00AM, BETSb.ST - Q3 2023 Betsson AB Earnings Call

Question: Alice Beer - ABG Sundal Collier - Analyst : The casino timing in Belgium. Are you happy with that start or?

Question: Alice Beer - ABG Sundal Collier - Analyst : Yes, if you could expand a bit on that.

Question: Alice Beer - ABG Sundal Collier - Analyst : All right. Thank you.

Question: Martin Arnell - DNB Markets - Analyst : Yeah, hi, guys. I just wanted to ask a follow up on this discussion about M&A versus buybacks. And I mean, you have a track record of acquisitions, but -- and it's going to be interesting to see this last one in Belgium, but the multiple on that one was higher than your own. So in that perspective, you know, this discussion about buybacks versus M&A is quite interesting to discuss. Do you understand that?

Question: Martin Arnell - DNB Markets - Analyst : Okay, thanks. That's helpful. And what would you -- I mean, what do you think in the Board discussions, buybacks might still be an option on the table here, given the strong balance sheet despite the fact that you did this acquisition?

Question: Martin Arnell - DNB Markets - Analyst : Okay, thank you for that good color.