The iGaming industry pioneer Denise Coates is unrestricted by obnoxious shareholders and investors who worry about earnings and stock prices. This may be the cause of Bet365's ability to withstand penalties, declines in income, and reputational blows with comparatively less stress due to her special position, as reported by iGamingfuture.
If Bet365 maintains its current course, especially in developing nations, not only its reputation but its very existence may be at stake.
Denise Coates, the wealthiest British businesswoman and Bet365's founder and CEO, saw her fortune estimated at $12.2 billion by Forbes in 2019. However, by 2024, amid losses, fines, increased tax deductions, and global expansion, her wealth dipped to $7.3 billion. iGamingfuture estimates she could pay herself £1 million daily, equivalent to about 30 years of a daily average British citizen’ salary. In 2023, Coates' earnings were a hot topic in the industry, with competitors accusing Bet365 of operating in illegal "gray areas."
How Did Ms. Coates Achieve Success?
iGF claims that it's her friendly and engaging management style—treating staff members like family—that makes her a progressive leader in the modern day. Notably, Denise Coates is averse to the media.
In terms of taxes, Bet365 paid approximately £460.2 million ($585.44 million) last year while posting a pre-tax loss of £60.2 million ($76.58 million), a sharp drop from the previous year's profits of £76.1 million ($96.81 million).
Denise, who co-leads Bet365 with her brother John, received a total salary of £270.7 million for FY23 ($344.37 million), a 2.7% increase from the previous year, including a 50% dividend of £100 million ($127 million).
In 2023, the company's revenues rose 19% to £3.4 billion ($4.32 billion), driven by Bet365's expansion into the high-cost, high-growth US sports betting market, IT investments, and increased headcount, reaching 7,500 employees.
Bet365's Secret of Success
Gambling revenues were back to pre-Covid-19 levels by 2023. While operational costs rose by 24% to £2.89 billion ($3.68 billion), Bet365's betting and gaming revenue reached £3.39 billion ($4.31 billion). According to Bet365, a major factor in its success was the introduction of its betting platform in North America, from where it currently operates in several US states as well as Ontario, Canada.
The company operates in numerous regulated markets, including Argentina, Australia, Germany, Gibraltar, Ireland, Spain, and the Netherlands. However, the company withholds sales and earnings figures by geography, citing the preservation of group interests.
"Entering new markets necessitates substantial initial investments," explained company representatives in their official statement. "However, our directors hold unwavering confidence that these markets will significantly contribute to Bet365's growth in the future."
In the face of an increasingly stringent international regulatory landscape and a heightened global emphasis on compliance and responsible gaming, Bet365 acknowledges its vulnerability in its official stance. Additionally, the company maintains a notable presence in unspecified "gray markets."
Navigating Challenges
One market where Bet365 has faced regulatory challenges is India—a vast, entirely unregulated iGaming arena inhabited by 1.3 billion people, one-fifth of the world's population.
This may help to explain why Denise Coates, who earns an incredible £1 million per day, continues to be regarded as the gambling queen by magazines that follow the industry. However, a skeptic of iGaming warns that preliminary indications suggest Bet365's future is far from certain.
"Expanding rapidly in the US implies that costs are likely to outpace revenue growth," states iGamingfuture. Conversely, organizations that willfully disregard laws governing responsible gaming and continue to function in extremely lucrative "gray markets" where internet gaming is still prohibited will be forced out of business. In the present environment, most gambling companies, particularly those in Europe, make an effort to uphold moral standards and responsible gaming guidelines.
