Penn National Gaming is planning to launch theScore Bet as their leading sportsbook brand in Ontario and throughout Canada. The gaming operator provided this information in their third-quarter earnings report on Wednesday. Its decision was based on the established name recognition of theScore in the Canadian digital media market.
The $2 billion acquisition announcement of Score Media and Gaming by Penn National took place in early August and completed just weeks ago. Both companies already had a partnership established back in 2019.
theScore originated as a digital sports news media platform based in Toronto. It spun off a sportsbook in 2018, theScore Bet, which made its debut in the United States when the federal law ban lifted. With sports betting in Canada also coming to fruition, there was no question the sportsbook would make its way back north.
Instead of launching competing sportsbooks together, Penn National will go with theScore Bet over its other property, Barstool Sportsbook. The decision makes sense as “theScore” branding is more familiar to those in Ontario. Barstool Sports, another digital media outlet that blends sports and pop culture, will have marketing for both products.
“As the most popular sports media app in Canada, theScore is uniquely positioned to capitalize on the legalization of [single-event] sports wagering in Ontario when the province is ready for launch,” Penn National Gaming President Jay Snowden said in the earnings press release. “Consistent with our previously disclosed strategy, we anticipate theScore Bet will be our leading brand in Canada while we will continue to lead with Barstool Sportsbook in the [US].”
Penn National Gaming Sees Stock Fall Despite Exceeding Target Revenue
In the Penn National earnings report, the company listed revenue at over $1.5 billion. That’s higher than the third quarter in the last three years. That revenue is higher than initially estimated. However, earnings listed at $0.52 per share is a drop from $1.17 at the end of June and lower than a year ago at $0.93 per share.
Earnings expectations were listed between $0.85 to $0.89. Those results led to a significant decrease in Penn’s stock price on Thursday. A report detailing allegations of sexual assault by Barstool founder Dave Portnoy also released amid the fall. It reached a low of $56.49 per share early Thursday afternoon but has bounced back to over $60 throughout Friday.
Snowden cites “Hurricane Ida and regional flare-ups of the Delta variant” to be part of the cause. The revenue increase is still promising. The acquisition of theScore Bet and its pending launch in Canadian provinces will likely amplify that.