International edition
August 04, 2021

According to Malta Gaming Authority's survey for 2020

Malta: online sports betting revenue projections 40% lower due to COVID-19

Malta: online sports betting revenue projections 40% lower due to COVID-19
Online gaming operators engaged in both B2C and B2B activities are projecting a 20% drop in GR in 2020. Nearly 66% of these companies will be postponing investment plans this year.
Malta | 05/29/2020

The B2C sector is the worst hit by the pandemic, with gaming revenue expected to drop by 12% this year. The revenue of 64 B2B licensed operators is forecasted to be 20% lower. Most of the operators are considering postponing investment plans for a later date.

I

n April 2020, the Malta Gaming Authority (MGA) conducted a survey among its licensed online operators to assess the impact of COVID-19 pandemic on the gaming sector through its Information & Research unit. The survey covered a number of different areas, including impact of COVID-19 pandemic on gaming revenue (GR), operating costs and investments. It also focused on the industry concerns and actions taken by operators during this pandemic.

The results show that the worst hit sector is projected to be the B2C sector —the survey covered 151 B2C operators—,  whose GR is expected to drop by 12% this year. This is primarily driven by the operators exposed to Type 2 game types (sports betting), whose GR is projected to be 40% lower than that projected in earlier budgets for the same full year 2020. Most of the operators are considering postponing investment plans for a later date, subject to a notable degree of uncertainty. 

The revenue of 64 B2B licensed operators is forecasted to be 20% lower than previous budget estimates for this year. Furthermore, between 33% to 38% of the operators in this sector are planning to postpone their investment during 2020.

The survey also covered operators engaged in both B2C and B2B activities, who are projecting a 20% drop in GR in 2020. Nearly 66% of these companies will be postponing investment plans this year.

The MGA said it will continue following closely the impact of the COVID-19 pandemic and further surveys aimed as assessing other impacts will also be conducted.

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