PointsBet forecasts 16 percent revenue decline in first half of 2027
The company attributes the drop to adverse sports results in Australia and punter-friendly outcomes at the FIFA World Cup.
PointsBet expects its revenue for the first half of 2027 to fall 16 percent compared to the same period last year. The company forecasts revenue of about $113 million Australian, down from $135 million Australian in the first half of 2026. It attributes the slowdown to a continuation of two key themes from the previous year. The period included the final stages of the Australian Football League and National Rugby League seasons and the entire 2026 FIFA World Cup.
The company noted "adverse results" in the AFL in August and September last year. It also said the World Cup was subject to what many operators classify as "punter-friendly results" in its early stages. Despite the clear reasoning for the decline, it may concern majority shareholder MIXI. The Japanese company purchased a 66 percent stake in PointsBet in September 2025, valuing the business at approximately $420 million Australian.
PointsBet's market capitalization has since fallen notably and now sits at $281.6 million Australian. The company expects its first-half normalized EBITDA to be in the range of $6 million to $8 million Australian. Many operators in Australia are handling a rocky path with regulatory uncertainty around gambling. Prime Minister Anthony Albanese's government is pressing ahead with a package of gambling reforms, but many pro-gambling reform advocates feel measures haven't gone far enough. PointsBet has touted its Ontario operation as a key revenue driver despite a drop off in Australia. The company has entered the official registration process with the Alberta Gaming, Liquor and Cannabis agency and opened pre-registration for local players. Unlike a vast array of operators who launched there on day one, the PointsBet brand is still yet to land in Alberta. Its fiscal 2026 results stated that its operations there are "expected to go live in the second half of calendar year 2026". This means there is still a couple of months left to display to investors and potential customers that the move is still on track.