Sportsbet's financial performance took a hit in the third quarter.

Online casinos in Australia Following the easing of COVID-19 restrictions, many bettors favored returning to traditional venues rather than opting for online platforms to place bets on events like horse racing and sports matches.

The pandemic lockdowns dramatically reshaped both digital and physical gambling scenes in Australia, with online platforms becoming the primary avenue for sports betting enthusiasts.

Traffic for Sportsbet, owned by Flutter Entertainment, saw a 14% revenue drop when compared to the previous year’s third quarter—a period over which they expanded their player base by 1%. Despite this, they still managed to bring in 319 million pounds.

As restrictions lifted, player activity dropped off compared to the lockdown periods, revealing an influx of new players during forced stay-at-home orders. Flutter notes other factors like weather-intense disruptions further dented earnings this quarter.

It's uncertain when or if online casinos and sportsbooks will reclaim the exceptional revenue figures achieved during pandemic lockdowns. The industry faces the significant task of maintaining user engagement and preventing a shift back to physical venues.