The Pointsbet Holdings Ltd (ASX: PBH) share price is tumbling on the back of its full-year earnings today. In fact, the bookmaker is currently the worst-performing stock on the S&P/ASX 200 Index (ASX: XJO).
The company's shares opened Wednesday's session 4.5% lower at $3.14 before diving to a low of $2.87, a 12.7% loss.
It has since recovered slightly to trade at $2.96 right now, 10.03% lower than its previous close.
Let's take a closer look at the ASX 200 bookmaker's results for financial year 2022 (FY22).
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Pointsbet share price plunges on FY22 earnings
As The Motley Fool Australia reported earlier, Pointsbet boasted $5 billion of sports betting turnover and brought in $296.5 million of revenue – a 52% year-on-year increase – last financial year.
On top of that, its gross win – the amount received from clients placing losing bets less the amount paid to clients placing winning bets – rose 41% to $497.8 million. Its gross win margin also increased, lifting 0.6% to 9.9%.
However, that wasn't enough to elevate the company's bottom line into the green.
It posted a $267 million after-tax loss for FY22 while its earnings before interest, tax, depreciation, and amortisation (EBITDA) sank to a $243.6 million loss.
But management assured the market on the company's future. Pointsbet chair Brett Paton and CEO Sam Swanell commented:
It is clear that North America will deliver the vast majority of regulated global gaming growth over the next decade.
We have now scaled our team, to access the in-house technology and market access to successfully compete in North America and have developed best in class partnerships … which will help accelerate our trajectory to take advantage of this enormous opportunity.
The company also announced the appointment of Edward Hartman today. The former Fox Corporation executive will take on the role of chief strategic officer next month.
Today's fall included, the Pointsbet share price is trading 58% lower than it was at the start of 2022. It has also dumped 71% since this time last year.
For comparison, the ASX 200 has fallen 8% year to date and 7% over the last 12 months.
