Bet365 has reported higher revenue but sharply lower profits for the year ending 30 March 2025, as the gambling group accelerated its shift toward regulated markets and absorbed rising operational costs.
Sports and gaming revenue increased 9% year on year to £4.036 billion, driven primarily by a strong performance in gaming, which rose 25% over the period.
Chief executive Denise Coates said the gaming growth reflected substantial investment in Bet365’s product offering and platform design.
All gaming products were transitioned into a single casino vertical, improving accessibility and user experience across devices.
Product Investment And Sports Performance
Coates also highlighted upgrades to Bet365’s in-house games recommendation engine, which was expanded into additional markets during the year.
Sports betting revenue rose by 5%, supported by expansion into new jurisdictions and what the company described as a successful UEFA Euro 2024 tournament.
Despite revenue growth, profitability declined sharply.
Sports and gaming operating profit fell 43% to £227.6 million, while profit before tax dropped 44% to £348.7 million.
Bet365 attributed the decline to higher costs linked to new market entries and a one-off restructuring and reorganisation charge of £59.2 million.
Administrative expenses climbed to £324.7 million for the year.
Asset Sales And Group Results
The company recorded a loss of £43.3 million during the period, partly driven by a £98.5 million reduction in fixed assets following the disposal of its Stoke City Holdings Limited investment.
This marked a reversal from the prior year, when Bet365’s sports and gaming division returned to profitability after a period of operational streamlining.
At a group level, profit fell to £338.5 million from £596.3 million the year before.
Exit From Grey Markets
Bet365 said the profit decline also reflected a deliberate strategic pivot toward regulated revenue streams.
During the year, the company exited China, historically one of its largest grey markets.
Coates said several legacy markets were abandoned because they “no longer fell within the long-term sustainable revenue category”.
While turnover was not materially affected, costs related to entering newly regulated markets rose to £896.5 million from £686.8 million.
An additional £10.2 million loss was recorded in connection with market exits.
“Aligning with that focus, the operating boards recognised that point of consumption regulated markets offer the most robust foundation for long-term sustainable revenue,” Coates said.
Global Expansion And Regulatory Focus
Bet365 secured new licences in Brazil, Peru, Serbia and several additional U.S. states during the year.
Coates said the company would continue prioritising markets where clear regulatory frameworks support sustainable growth.
She added that Bet365 is “well-placed to benefit long term in those countries where commercially viable regulation is adopted”.
The group also reported a 32% increase in UK tax contributions, paying £481.5 million over the 12-month period.
AUSTRAC Investigation Update
In Australia, regulator AUSTRAC launched an investigation in March 2024 into potential breaches of anti-money laundering and counter-terrorism financing rules.
Bet365 commissioned an external audit, which was submitted earlier this year.
The company said all recommendations from the audit have been implemented and AUSTRAC is reviewing the remediation plan.
“It’s too early to predict the likely timing and potential outcome of this investigation,” Bet365 said.
