A legal sports betting operator is back in business after a temporary suspension to improve its user experience.
Barstool Sportsbook — owned by PENN Entertainment — has debuted its new and improved sports betting app after transitioning to its own in-house proprietary platform. Barstool’s decision to relaunch its online betting site came after the sportsbook decided to part ways with gambling software provider Kambi. Barstool and Kambi had worked together since 2021 following PENN’s acquisition of theScore.
“Migrating onto our proprietary technology platform and introducing a fully upgraded Barstool Sportsbook is a milestone achievement,” said CEO and President of PENN Entertainment Jay Snowden in a statement. “Having full control of our product and roadmap will lead to improved operational efficiency and the ability to quickly introduce new features, bespoke promotions, and wagering markets.”
Earlier this week, Barstool announced that it would shut down its sportsbook to undergo a 72-hour planned maintenance period. The temporary shuttering, which occurred during the MLB All Star break, allowed Barstool to upgrade its platform across the 16 jurisdictions it has been awarded market access. Barstool has operations in states including, Arizona, Colorado, Ohio, Pennsylvania, New Jersey, and Virginia.
The sportsbook has failed to earn a license in New York — America’s largest gaming market.
Barstool’s upgraded sportsbook will allow the operator to expand into potential new markets while meeting regulatory requirements. The improved platform will also include more wagering markets, streamlined navigation, faster load times, withdrawals, and enhanced integration with theScore app.
“With this proven technology powering a significantly enhanced Barstool Sportsbook, we are primed to deliver a world-class online sportsbook and casino experience to customers in the U.S.,” said Head of Penn Interactive and President and COO, theScore Benjie Levy.
Upward trajectory
PENN acquired a 36% stake in the Barstool Sports media brand in 2020 for $163 million. In February, the company purchased the remaining 64% of Barstool in a deal valued at $388 million. The merging of PENN and Barstool’s business operations has allowed the two entities to drive profits collectively.
In Q1 2023, PENN generated $1.67 billion in revenue — a 7% increase compared to the same period last year. Its interactive segment, which includes Barstool Sportsbook, reported $233.5 million in revenue in Q1 2023 compared to $141.5 million in Q1 2022. PENN saw its interactive segment report an adjusted EBITDA loss of $5.7 million in Q1 2023 behind the launches of authorized sports betting in Ohio and Massachusetts.
PENN expects full-year revenue to range between $6.37 billion and $6.81 billion in FY2023.
