The Stars Group (TSG) has reported further revenue decline in its legacy “international” business segment, comprising PokerStars, PokerStars Casino and BetStars brands. While revenue from the casino vertical suffered, online poker sticks out as the weakest performer.
According to Q2 2019 financial results released last week, PokerStars’ revenue declined 12% year-over-year. Unfavorable currency fluctuations accounted for some of this, but on a constant currency basis the drop was still 7%, the group reported.
It is the fourth straight quarter that online poker has dropped year-over-year. So far in 2019, the operator has generated $405 million in revenue from the vertical, the lowest H1 on its five-year record. It is a pronounced 12.4% decline on 2018’s successful H1, which at the time was celebrated as a record high.
As seen in previous quarters, the decline was blamed on “disrupted markets.”
“Poker revenue for the quarter decreased year-over-year primarily as a result of adverse foreign exchange fluctuations and continued disruptions and regulatory headwinds in certain markets,” it was stated in the press release accompanying the financial results.
This resulted in “reduced deposits by customers as a result of local restrictions on some methods of payment processing and on certain methods of downloading The Stars Group’s poker applications.”