OPAP posts Q1 profits of €118 delivered on digital growth

Greek lottery operator OPAP has reported upticks in revenue during Q3 as players returned and online operations gained momentum.
Image: Alexandros Michailidis/Shutterstock

Publishing its Q1 update, the Athens listed gambling group registered gross gaming revenues (GGR) of €527m, up 15% on 2022 comparative results of €458m.

The upswing was attributed to the continued successful implementation of OPAP’s commercial strategy, which boosted growth across both its online and retail segments.

The revenue generation was widely spread across all verticals, with the lottery sector accounting for €188.7m, marking an 11.0% rise. 

Betting revenue also saw an uptick of 10.5%, taking it to €168.9m, while video lottery terminals (VLTs) witnessed a notable surge of 21.7%, reaching €84.4m.

Of significance, the group’s enlarged online casino unit was marked for its outstanding performance generating revenue growth of 32.4% to €54.9m.

Operating costs did increase, with gaming revenue-related expenses and marketing expenditures witnessing significant jumps of 17.7% and 18.6% respectively. However, OPAP demonstrated efficiency by reducing other operating costs by 13.1%.

Amid these rising costs, OPAP successfully maintained a healthy financial outlook, posting a 36.8% year-on-year rise in pre-tax profit to €40.5m.

After accounting for taxes and interests rates, the group’s net profit was €118.0m, marking a significant 33.6% increase. In addition, the adjusted EBITDA soared by 16.4% to €196.5m.

Group CEO Jan Karas commented: “After an impressive Q4 2022, OPAP started 2023 strongly, posting solid organic growth. The significant profitability reported in Q1 2023 reflects our compelling customer proposition, as well as our enhanced operational efficiency.

Looking ahead, we remain well positioned for the next chapters of our growth story and ready to ensure that OPAP is fully leveraging market opportunities, while meeting its commitments vis-à- vis sustainability and giving back to society.”