BlueBet Holdings will exit the US market to concentrate on fostering growth within its core Australian operations.
The decision follows a comprehensive review of its US endeavours, prompted by the company's merger with Australian wagering firm betr in July.
The review revealed slower-than-expected regulation in the US, which hindered interest in BlueBet's B2B SaaS platform.
BlueBet sees immense potential in the Australian market to boost its operations by leveraging its best-in-class technology and customer base from the merger.
BlueBet's "Capital-Lite" strategy limited US investments, and exiting the market is projected to save $6 million to $8 million annually.
This will allow the company to redeploy resources to fuel organic and inorganic growth within Australia.
"Our focus now is entirely on leveraging our strengths in the Australian market, where we see significant opportunities for growth," stated Darren Holley, CFO of BlueBet.
"By reallocating these resources, we are confident we can exceed our strategic objective of achieving over 10% domestic market share in the near term," Holley supplied.
The company will continue to pursue monetisation of its international sportsbook technology, collaborating with relevant partners and regulators for a seamless US market exit.
For FY24, BlueBet saw wagering revenue rise from $49 million to $58 million. Active customers grew 7.7% to 70,456.
The company reported a loss from ordinary activities after tax of $46.9 million, representing a 149.1% increase from the prior year’s loss of $18.8 million.
EBITDA stood at a loss of $15.3 million, an improvement from the previous year’s EBITDA loss of $18.3 million.
At the time of reporting, BlueBet's share price was $0.20.