Betmakers Technology Group (BET) Investor Presentation summary

Business overview and strategy

• Delivers world-leading B2B technology for tote and fixed odds wagering, serving 230+ racing partners and 60+ wagering operators across 30+ countries with 45+ licenses.

• Offers a full suite of scalable products, including end-to-end software, hardware, managed trading, and data/content services.

• Transformation strategy underway to improve gross margin, reduce costs, and accelerate growth, with a focus on enabling positive cash flow in FY25.

• Global footprint includes operations in the Americas, Europe, Africa, Asia, and Oceania, with 376 employees and 8 worldwide offices as of June 2024.

• Leadership team brings deep industry and financial expertise, with a track record of successful acquisitions and technology integration.

Product and operating model

• Operates a scalable B2B marketplace for software, data, and rightsholder partners, performing over 2 billion data checks daily.

• Product suite spans Quantum Tote Engine, international pooling, managed trading, data/content, and embedded solutions for both tote and fixed odds.

• Revenue models include variable fees, SaaS minimums, and managed services, targeting both new and established operators globally.

• Technology upgrades over the past 18 months have enhanced the Global Betting Services platform, supporting white-label and API-based solutions.

• Global Tote division delivers end-to-end and modular solutions to major operators in highly regulated markets.

Financial performance and revenue composition

• FY24 revenue was $88.8m, with 97% contracted at the start of the year and no single customer accounting for more than 5% of revenue.

• Revenue is diversified across a global client base, with 66% international and 34% domestic, and a mix of fixed (63%) and variable (37%) fees.

• Adjusted EBITDA loss reduced by 74% to $7.2m in FY24 from $27.8m in FY23, driven by a reduction in operating expenses from $88.2m to $65.3m.

• Management is focused on further efficiency gains and margin improvement, positioning for positive operating leverage in FY25.