Sports betting operator Score Media and Gaming has posted its financial results for the three and nine months ended May 31, 2020. In line with the general downturn in the market, the firm reported anticipated losses across the board as a direct result of the COVID-19 pandemic.
Total revenue for Q3 2020 was $2.4m compared to $8.5m for the same period last year, while total revenue for the nine months ended May 31, 2020 was $18.3m versus $24.7m year-on-year.
Gaming handle was $3.7m in Q3 and $26.7m for the nine months, while gross gaming revenue was $81,000 in Q3 and $766,000 for the nine months. When taking into account promotional costs and fair value adjustments on unsettled bets, this resulted in negative net gaming revenue of $22,700 and $244,000 for the three and nine months ended May 31, 2020.
EBITDA loss in Q3 F2020 was $8.7m versus EBITDA loss of $1.1m for the same period last year. EBITDA loss for the nine months ended May 31, 2020 was $22.2m versus EBITDA loss of $2.3m in the same period last year.
Explaining the increase in EBITDA loss, the firm said it was primarily due to the COVID-19-related impact on revenue for the period and the result of additional expenses incurred in connection with the expansion of its gaming operations compared to the prior year.
Updating investors, Founder and CEO John Levy said: “The past quarter has been a period of unprecedented challenge, as the world grappled with the vast impact of the COVID-19 pandemic, including the disruption of nearly every major sports league and event. Through this difficult period, I couldn’t be prouder of how our team has come together to respond, first and foremost, by taking care of each other.
“During this period, we have continued to press ahead at full strength on key initiatives, including the development of our mobile sportsbook, theScore Bet, and we remain on track for our multi-state roll-out into Colorado and Indiana later this summer, subject to receiving all relevant licenses and approvals.”
He continued: “Across our media platforms, we have focused on delivering innovative and interactive content formats, resulting in the retention of nearly 75% of our monthly active users compared to the same period last year, with users continuing to engage with our app on a daily basis.
“Live sports has the power to serve as a positive and welcome outlet during what remains a difficult and challenging time. We’re primed to deliver a best-in-class, integrated media and gaming experience as fans eagerly welcome major leagues and sporting events back to play.
“To that end, we’re already seeing great momentum building. On theScore, in the few days since baseball’s return, sessions have doubled compared to the days prior. At the same time, in the first week of live baseball on theScore Bet, we nearly matched our total betting handle from Super Bowl week. All with just one of the major sports back at play.”
Encouragingly, and despite the unprecedented disruption to the sports calendar caused by the pandemic, the company achieved 2.9 million average monthly active users of theScore app on iOS and Android in Q3 F2020, representing nearly 75% of its average monthly active users achieved in the same period in the previous year.
Said the firm: “Live sports events drive significant engagement in theScore app, and the disruption to the sports calendar led to an expected decline in engagement in Q3 F2020. However, theScore’s focus on delivering innovative and interactive content during this period resulted in users continuing to engage with theScore app on a daily basis, with 35 average monthly sessions-per-user during Q3 F2020.”