Pointsbet expects decline in Australian revenue
Australian bookmaker PointsBet expects group revenue to decline approximately 16% in the first half of its 2027 financial year, with tighter compliance measures and unfavourable sporting results weighing on its Australian business.
In a trading update released on October 13, the company forecast revenue of approximately A$113 million for the six months ended September 30, down from A$135 million during the corresponding period a year earlier.
PointsBet also expects to report a normalised EBITDA loss of between A$6 million and A$8 million.
The company attributed the revenue decline to two factors affecting its Australian wagering operations: reduced betting activity among high-value customers following stricter compliance measures and unfavourable sporting results that eroded gains elsewhere in the business.
PointsBet (Pointsbet review) said its highest-value customer segment recorded sustained double-digit declines in both turnover and revenue throughout the six-month period compared with a year earlier.
The bookmaker attributed those declines to proactive compliance measures introduced as part of its efforts to strengthen operating standards.
“We believe these have been important decisions to make in the context of an increasingly complex regulatory environment in Australia,” PointsBet said.
PointsBet has been deliberately shifting its Australian business towards a broader base of mainstream sports bettors rather than relying heavily on a smaller group of high-value customers.
According to the company, that strategy delivered consistent year-on-year growth in mass-market active customers, betting turnover and structural net win margin during the first half.
However, those improvements were undermined by unfavourable results across major sporting competitions, particularly during August and September.
PointsBet specifically identified AFL results as the primary contributor to the adverse movements in its actual net win margin.
The company acknowledged that its strategy of accelerating growth among mainstream sports bettors could produce short-term volatility in betting margins.
Alberta expansion remains a priority
PointsBet continues to operate in Australia and Canada, with further Canadian expansion forming part of its growth strategy.,
The company is preparing to enter Alberta’s regulated online gambling market, although its launch remains pending.
The trading update follows a period of substantial change for PointsBet, including Japanese technology company MIXI’s acquisition of a controlling stake in 2025.
The latest revenue forecast highlights the challenges facing the bookmaker as it adjusts its Australian customer base, strengthens compliance procedures and pursues expansion opportunities overseas.
PointsBet is scheduled to release its full first-half FY2027 results on October 30.
