Central Europe
SAZKA Group Q3 and 9M Results and Update on Current Trading
SAZKA Group a.s. announces its financial results for the three months to 30 September 2020 and provides an update on recent developments and current trading.
Q3 2020 Financial highlights
- Consolidated gross gaming revenue increased by 66% year-on-year to €769 million. Excluding CASAG1, GGR increased by 1% year-on-year.
- Consolidated Operating EBITDA2 increased by 37% year-on-year to €197 million. Excluding CASAG, Operating EBITDA increased by 6%.
- Consolidated Adjusted EBITDA, which excludes certain one-off items, increased by 32% year-on-year to €207 million.
- Consolidated profit after tax decreased by 33% year-on-year to €48 million, impacted by a €54 million restructuring provision at CASAG. Excluding CASAG, profit after tax increased by 3% year-on-year.
9M 2020 Financial highlights
- Consolidated gross gaming revenue increased by 4% year-on-year to €1,421 million. Excluding CASAG, GGR decreased by 18% year-on-year due to the impact of COVID in the second quarter.
- Consolidated Operating EBITDA decreased by 15% year-on-year to €364 million. Excluding CASAG, Operating EBITDA decreased by 26% year-on-year.
- Consolidated Adjusted EBITDA, which excludes certain one-off items, also decreased by 15% year-on-year to €375 million.
- Consolidated profit after tax from continuing operations decreased by 58% year-on-year to €90 million. Excluding CASAG, profit after tax decreased by 50%.
Pro-rata LTM Q3 2020 highlights3
- Pro-rata LTM Adjusted EBITDA was €379 million.
- Pro-rata net debt / Adjusted EBITDA was 3.2x and Pro-rata priority net debt / Adjusted EBITDA was 0.5x at 30 September 2020.
Key strategic initiatives
- In July, the Supervisory Board of CASAG approved a plan to optimise the cost structure of the casino business in Austria. This plan is underway and expected to achieve c.€45 million of annual cost savings by FY22.
- In July and November, OPAP acquired additional interests in Stoiximan Group’s Greek and Cypriot business (“SMGC”), the leading online gaming business in Greece. OPAP now holds an 84.5% interest in SMGC.
- In November, KKCG and SAZKA Group announced that funds managed by affiliates of Apollo Global Management, one of the world’s leading investors in gaming, will invest €500 million in a newly formed holding company which will become the owner of SAZKA Group at a valuation of €4.2 billion.
Trading update
- Restrictions which had impacted some of our land-based businesses (in particular, in Greece, Italy and our casinos in Austria and internationally) in H1 were lifted at the end of Q2, and sales of these businesses recovered well in Q3.
- Our land-based businesses in the Czech Republic and Austria, which were not materially impacted by restrictions in H1, have continued to perform well.
- Online sales, which increased significantly during the period most impacted by COVID, have generally remained at these higher levels.
- Since late October/early November, there has been a second wave of COVID restrictions, having some impact on our businesses.
- The vast majority of the land-based POS of our businesses in the Czech Republic, Austria and Italy remain open and continue to sell our products.
- The majority of the POS in these locations are located in shops and other outlets which provide essential products and services which therefore remain open. These include tobacconists, supermarkets and petrol stations.
- Our land-based business in Greece and Cyprus as well as our casinos have been more affected by the current lockdown and are currently closed.
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Central Europe
SYNOT Games teams up with win2day to revolutionize Austria’s iGaming scene
SYNOT Games, a leading iGaming provider, has partnered with win2day, taking a major step in its Austrian market growth strategy.
The collaboration marks its debut with the launch of Resin Joker, a fan-favorite slot that combines the simplicity of a classic gaming experience with a fresh, modern twist. With its smooth gameplay, vibrant audio-visuals, and universal appeal, Respin Joker has become a standout title for players seeking both entertainment and nostalgia.
As this partnership progresses, players can look forward to a steady rollout of additional games from SYNOT Games’ extensive portfolio, further enriching win2day’s already robust catalog. This collaboration is designed to offer Austrian players a premium gaming experience, with a diverse selection of games that blend cutting-edge innovation and top-tier quality.
Georg Wawer, Managing Director of win2day, said: „As the sole licensed operator in Austria, our goal is to host all leading iGaming providers on our platform. Synot, being a major player on the international stage, makes us proud to feature their content. We regard SYNOT Games as a skilled and trustworthy partner for win2day, and we are confident that this collaboration will yield great success.„
Martina Krajčí, CCO at SYNOT Games, commented: “We are excited to partner with win2day and bring our games to Austrian players. At SYNOT Games, our focus has always been on providing quality entertainment, and this partnership highlights our commitment to delivering an outstanding gaming experience.”
The post SYNOT Games teams up with win2day to revolutionize Austria’s iGaming scene appeared first on European Gaming Industry News.
Central Europe
25 years of ZEAL: A quarter century of online lottery in Germany
- From living room start-up to online market leader
- Ambitious growth targets and innovative product ideas
ZEAL Network SE, the market leader for online lotteries in Germany, is celebrating its 25th anniversary. Founded in 1999 as Tipp24, the company was one of the first on the German market to bring lotteries to the internet. Since then, ZEAL has had a lasting impact on the German online lottery business.
“We are very proud of a quarter century of ZEAL,” says Helmut Becker, CEO of ZEAL. “What began 25 years ago as a two-man start-up in Hamburg has now developed into a group of companies with more than 250 employees. We are more successful than ever in our core business of lottery brokerage and are continuously expanding our market share and our business model. In doing so, we are staying true to our motto: we define the future of lottery.”
From start-up to international group
ZEAL was founded as Tipp24 in Hamburg in 1999. The company was one of the first providers to enable participation in state lotteries in Germany via the Internet – with great success. The IPO followed in 2005. This was followed by the temporary relocation of the company headquarters to London, the change of name to ZEAL Network SE and the development of new business abroad. In 2019, the company returned to Hamburg and took over LOTTO24 AG. This made ZEAL the largest lottery broker in Germany. Today, more than 1.3 million customers play with ZEAL’s brands every month.
“As one of the founders, I am particularly happy about ZEAL’s success story,” says Jens Schumann, co-founder of ZEAL 25 years ago and now a member of the Supervisory Board. “When we founded the company, we printed out the lottery tickets that our customers played online and handed them in at the kiosk around the corner. A lot has happened since then. Today, ZEAL is one of Germany’s leading e-commerce companies. It gives me great pleasure to have been so closely involved in its development to date.”
Continuing to grow in the core business, developing new business areas
Today, ZEAL is the market leader for online lotteries in Germany. The brokerage of participation in state and charity lotteries remains the company’s core business, which it intends to expand in the future. In addition, ZEAL is continuously developing its portfolio: in the summer, for example, the company launched the first raffle of an existing property in Germany with Traumhausverlosung (English name: Dream House Raffle). ZEAL also appeals to younger target groups in particular with the freiheit+ charity lottery. Last year, ZEAL also launched an online games offering, which has been continuously expanded since then. ZEAL also operates the online presence of the ONCE charity lottery in Spain, a public organization for the blind, and invests in industry-specific start-ups via its ventures department ZEAL Ventures.
The post 25 years of ZEAL: A quarter century of online lottery in Germany appeared first on European Gaming Industry News.
Central Europe
NOVOMATIC once again honored with the “Business Superbrands Austria Award”
The world’s largest independent brand evaluation organization, Business Superbrands Brand Council, has once again recognized NOVOMATIC as one of Austria’s strongest brands for the year 2024/2025.
The prestigious award is given to brands that have built up an outstanding image in their market segment and clearly stand out from their competitors. After a pre-selection by the credit rating service provider Bisnode D&B, an independent panel of experts decides on the awarding of the title. NOVOMATIC’s exceptional brand strength and innovative power were convincing and underlined our success on both the domestic and international markets.
Stefan Krenn, Executive Board Member of NOVOMATIC AG, accepted the award from András Wiszkidenszky, Superbrands Regional Director, and emphasized: “This award underlines our strong market position and the continuous pursuit of innovation and excellence in the international gaming industry. At the same time, it is a sign of appreciation for the extraordinary commitment of our employees, who contribute to the success of the NOVOMATIC brand every day.”
András Wiszkidenszky added: “The Superbrand award underlines the economic appeal of the NOVOMATIC brand. Congratulations on the outstanding brand management and strong positioning that have made NOVOMATIC one of the strongest brands in Austria.”
The post NOVOMATIC once again honored with the “Business Superbrands Austria Award” appeared first on European Gaming Industry News.
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