Betfred Exits Nevada, Reduces U.S. Presence to Pennsylvania

Strategic Retrenchment in the U.S.

The decision to exit Nevada follows Betfred’s earlier withdrawals from several other states, including Arizona, Iowa, Virginia, Washington, and Maryland. This retrenchment is the company’s response to challenges in the highly competitive U.S. sports betting market, where it has struggled to gain a foothold from the very beginning.

Despite Nevada’s reputation as a global gambling hub, Betfred opted to leave rather than compete with well-established operators.

Financial Pressures Driving the Decision

Betfred’s retreat from the U.S. market comes amidst mounting financial challenges. In the 2023 fiscal year, the company reported losses of $91.7 million, a stark contrast to the $25.1 million profit recorded the previous year.

While Betfred doubled its online revenue during this period, it wasn’t enough to offset losses attributed to operational challenges in markets like the U.S.

With operations now limited to Pennsylvania, Betfred’s U.S. presence centers on its partnership with Wind Creek Bethlehem. The sportsbook offers both retail and online sports betting services and allows the company to maintain a foothold in one of the country’s more stable gaming markets.

Pennsylvania’s mature sports betting industry provides a less volatile environment compared to states with newer or more crowded markets.

What’s Next for Betfred?

Betfred’s decision to scale back its U.S. operations shows the challenges European operators face in trying to establish themselves in the competitive North American market.

Betfred’s struggles mirror those of another UK-based operator, bet365. Although bet365 is slowly expanding its footprint in the U.S., it has yet to achieve anything close to the dominance it enjoys in Europe.

For Betfred, its retreat to Pennsylvania may provide some stability, but the path forward remains uncertain.