PointsBet suffers revenue hit driven by Australian business

A decline in revenue from PointsBet’s Australian business drove a 16 per cent fall in first-half group revenue compared with the same period last year, equivalent to $22 million.

PointsBet advised the ASX on Tuesday morning that it expected group revenue from its Australian and Canadian businesses for the period from April 1 to September 30 to fall to $113 million from $135 million in the same period in 2025.  

“The decline in group revenues was attributable to the Australian business, reflecting a continuation of two key themes identified at our FY26 AGM,” the wagering firm said.

The first was a continued strengthening of compliance standards.

“A sustained trend of double-digit turnover and revenue declines vs PCP throughout H1 from our highest value client cohort can be attributed to proactive compliance actions,” it said.

“We believe these have been important decisions to make in the context of an increasingly complex regulatory environment in Australia.”

PointsBet flagged the revenue impact at its August annual general meeting, where group chief executive Andrew Catterall said the Australian business had deliberately strengthened compliance standards in recent years, regardless of the effect on revenue. 

He said turnover and gross profit from its highest-value customers had declined by double digits in the final months of FY26.

In its latest update, PointsBet said it had deliberately accelerated growth in active mass-market sports customers.It said this could lead to short-term volatility in net win margins.

“Consistent gains in mass market sports actives, Turnover and structural Net Win margin vs PCP were eroded by negative variance in actual Net Win margin throughout the half, in particular adverse results for key sports in August and September – primarily AFL,” the company said.

PointsBet will release its H1 FY27 results on October 30 and said it expects its normalised EBITDA loss to be between $6 million and $8 million.

PointsBet’s share price has fallen about 9 per cent since last Wednesday, from 88 cents to 80.5 cents.

Japanese company MIXI acquired a 66.4 per cent controlling stake in PointsBet last year, with the bookmaker subsequently changing its financial year-end to March 31 to align with its majority owner’s reporting cycle.

Andrew Catterall took over as Group chief executive in February 2026, replacing co-founder Sam Swanell after more than a decade leading the business. Swanell remains an executive director and senior adviser.

PointsBet had previously raised compliance requirements as a consideration in the growth of its business and that narrative featured during the attempted hostile takeover from rival betr in 2025.

Earlier this year, PointsBet said it had accelerated its move towards a 50-50 turnover share between racing and sports, with a concerted strategy to “maintain compliance settings above industry benchmarks, reflecting its commitment to player protection and sustainable growth”.