Climate Change Data

Environmental Metrics

ESG Focus Areas

• Responsible Gaming
• Ethics and Business Compliance
• Employee Impact
• Social Impact
• Climate Impact

Environmental Achievements

• 33% decrease in emissions of direct and indirect greenhouse gases from own operations and indirectly from purchased energy (Scope 1 and Scope 2).
• 12% decrease in emissions of indirect greenhouse gases (Scope 3).
• Betsson is a 100% climate-neutral business.

Social Achievements

• 84% of employees recommend Betsson as a place to work for friends and family.
• Betsson was recognised as a top employer by the international Top Employers Institute.
• Betsson supported Gamcare, Dansk LudomaniKomité and sponsored the Consumer Protection Zone at ICE London.
• Betsson supported humanitarian aid to Ukraine, including monetary contributions and employee donations.

Governance Achievements

• Betsson implemented a new compliance management system.
• Betsson implemented a Contract Lifecycle Management System.
• All Internal Rules for Betsson AB were reviewed and re-adopted by the Board of Directors and the CEO of Betsson AB.
• Zero confirmed cases of corruption.
• Zero whistleblowing incidents reported.

Climate Goals & Targets

Environmental Challenges

• Strict regulations in several countries (e.g., Germany, Great Britain) that discourage channelisation and drive players to unlicensed operators.
• Higher gaming tax in Sweden weakening the competitiveness of licensed gaming.
• Some EU countries holding onto state-owned gambling monopolies.
• Lack of competencies for key areas in the gaming industry, leading to high staff turnover.

Mitigation Strategies

• Active involvement in industry bodies and dialogue with policymakers to achieve regulations that protect consumers and liberalise markets.
• Continuous work to ensure that the strategy is up to date and aligned with the business environment.
• Heavy investment in people and technology.
• Comprehensive HR program to address staff turnover, ensuring proper staff engagement and prioritizing staff security and wellbeing.

Supply Chain Management

Responsible Procurement

• Only use suppliers of cloud services who have a green strategy and a goal for renewable energy

Climate-Related Risks & Opportunities

Transition Risks

• Regulatory risk

Reporting Standards

Frameworks Used: GRI Standards

Certifications: ISO 27001:2013

Third-party Assurance: PricewaterhouseCoopers AB

UN Sustainable Development Goals

• Goal 3
• Goal 5
• Goal 8
• Goal 13
• Goal 16

Betsson's operations have the most impact on these SDGs.

Awards & Recognition

• ESG Strategy of the Year at the EGR Operators Awards
• Safer Gambling Operator of the Year at the International Gaming Awards
• Responsible Gaming of the Year at SiGMA Americas
• 34 awards in total

Environmental Metrics

ESG Focus Areas

• Responsible gaming
• Business compliance
• Employee impact
• Social impact
• Climate impact

Environmental Achievements

• Betsson’s operations have been climate neutral for several years. This means that Betsson offsets its emissions, including estimated emissions by customers’ gaming units when playing on Betsson brands, by purchasing reduction units in verified projects. Betsson compensates for all emissions and adds an additional 10% to be climate positive.

Social Achievements

• Betsson was awarded Silver for Employer of the Year at the SBC Awards in Lisbon.
• Supporting the President Kaljulaid Foundation initiative ‘Employers Against Domestic Abuse’ in Estonia and providing the funds to hire a ranger to help protect the environment in the Majjistral Nature and History Park in Malta.
• A project to provide the funds necessary for the refurbishing of a shelter for refugees within Ukraine will be initiated during the second half of 2024.

Governance Achievements

• Betsson holds an AAA rating by Morgan Stanley Capital International (MSCI) ESG Ratings, which is the highest possible rating.
• The Group is a participant of the UN Global Compact and a Nasdaq ESG transparency partner.
• Betsson has included an ESG goal in the Group’s long-term incentive plan. The goal is to have at least an AA ESG rating from MSCI.

Climate Goals & Targets

Environmental Challenges

• Increased gaming taxes driven by an increased share of locally regulated revenue.
• Implementation of Pillar 2 resulting in a substantially higher total corporate tax for the Group starting from January 2024.
• Competition in Brazil is expected to be tough with many operators willing to invest large amounts in marketing.

Mitigation Strategies

• Careful evaluation and comparison of the likely returns on marketing in Brazil with other countries in order to find the right mix and allocation of investments between our markets.
• Focus on efficient capital allocation.
• Submitted application for a local license in Brazil.

Supply Chain Management

Responsible Procurement

• Implementation of a Contract Lifecycle Management system (CLM) to streamline the Group’s internal processes when it comes to the onboarding and management of suppliers.

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: UN Global Compact

Certifications: G4 (The Global Gambling Guidance Group)

Awards & Recognition

• AAA rating by Morgan Stanley Capital International (MSCI) ESG Ratings
• Silver for Employer of the Year at the SBC Awards in Lisbon