Penn to Integrate Betting Functionality into theScore Media App

Integration Begins in Ontario

On May 2, during Penn Entertainment's earnings call, CEO and President Jay Snowden announced that theScore will integrate theScore Bet's betting features directly into its media app in Ontario.

TheScore Bet, launched by Score Media and Gaming in September 2019, remained separate from the company's sports news and media app until now. Users could view the latest scores on the betting platform but had to switch to theScore app for detailed game insights, such as team and player stats. Conversely, theScore app showed game odds but lacked wagering functionality.

Snowden revealed that the new integration will enable users in Ontario to both track and place bets within the original sports app.

"We've got some exciting deep integrations launching over the next month in Ontario," Snowden said, responding to a question from Truist Securities analyst Barry Jonas. "This includes an embedded bet slip in the media app and the ability to track bets placed with theScore Bet."

While the integration will initially roll out in Ontario, Penn plans to extend this feature to the U.S. for ESPN Bet.

"These initiatives will eventually be implemented with ESPN Bet in the U.S.," Snowden added. "We're starting in Ontario and will monitor its traction. The integration between theScore media and theScore Bet is seamless, which is also our goal with ESPN in the U.S."

For Snowden and Penn, this move is a logical progression in their aim to provide a seamless, all-in-one user experience for sports fans and bettors. He emphasised earlier in the call that sports betting and sports media are "rapidly converging," and fans increasingly seek an integrated sports betting experience.

theScore Bet Performance and Penn's Future Outlook

Penn's Q1 2024 results showed a 3.8% decline in revenue to $1.61 billion USD, with an 11.1% drop in revenue for the Interactive division due to unfavourable outcomes in larger sports events. This division includes all online sports betting and casino operations under Penn, including ESPN Bet in the U.S. and theScore Bet in Canada.

Despite these figures, Snowden noted that theScore Bet is performing "really well" in the Ontario market. While trailing behind competitors like FanDuel and DraftKings, the app holds a low double-digit market share in both online sports betting and online casino in the province.

Snowden remains optimistic about Penn's prospects for the rest of 2024. He highlighted record handles and gross gaming revenues for both online sports betting and iGaming, along with a 166% increase in active online gaming users, despite EBITDA losses of approximately $196 million USD for Penn Interactive.

He also pointed to ongoing product development as a growth driver for the year ahead. "We look forward to unveiling additional product enhancements and unique media integrations with ESPN ahead of the 2024 football season," Snowden added. "Our improved online product offering will help engage, reactivate, and retain our expanding database, creating a highly differentiated experience for sports fans and bettors."

Executive VP of Operations Todd George mentioned that Penn Game Studios continues to innovate in Canada, with successful products like the Blue Jays Blackjack game. "It's really taken off," he said. "We're looking for similar opportunities in the U.S., and our new products often quickly rank among our top offerings online."

To support these advancements, Penn has appointed Aaron LaBerge as its new chief technology officer, effective in July. LaBerge will drive Penn's technology strategy and execution, serving as the key business leader for Penn Interactive.