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LeoVegas AB Q2: Quarterly report 1 April – 30 June 2021

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“All-time-high in Sweden and a strong start for Expekt” – Gustaf Hagman, Group CEO

SECOND QUARTER 2021: 1 APRIL – 30 JUNE

  • Revenue decreased by 13% to EUR 96.8 m (110.7).
  • Excluding Germany, growth was positive 3%.
  • Adjusted EBITDA was EUR 10.6 m (23.0), corresponding to a margin of 10.9% (20.8%). Reported EBITDA was EUR 9.8 m (23.0).
  • The number of depositing customers was 460,697 (434,453), an increase of 6%.
  • Adjusted earnings per share were EUR 0.06 (0.19).

EVENTS DURING THE QUARTER

  • The acquisition of Expekt was completed and integrated on 19 May 2021. The start has been a success, and Expekt’s revenue and market share have nearly doubled in Sweden since the acquisition was carried out.
  • LeoVegas’ forthcoming expansion to the USA, starting in the state of New Jersey, is on track.
  • LeoVegas carried out share repurchases for EUR 4.9 m and paid out of the first out of four quarterly dividends to the Parent Company’s shareholders. The second quarterly dividend payment was made after the end of the period.
  • LeoVegas’ framework and routines for ensuring responsible gaming have been assessed by the independent agency eCOGRA. The external assessment shows that LeoVegas is in conformity with all relevant recommendations and requirements for responsible gaming published by the European commission.

EVENTS AFTER THE END OF THE QUARTER

  • Preliminary revenue in July amounted to EUR 32.8 m (30.7), corresponding to growth of 7%. Excluding Germany, revenue grew 23%.

COMMENT FROM GUSTAF HAGMAN – GROUP CEO

SECOND QUARTER
Most of our markets have continued to develop well, with high, double-digit growth in key markets like Italy and Spain. The development in Sweden is encouraging, with record-high revenue during the quarter. We are also growing rapidly in North America, which now accounts for 10% of consolidated revenue. However, re-regulation in Germany continued to negatively impact figures during the period. Excluding Germany, Group revenue increased by 3% to a new record level despite tough comparison figures from the start of the pandemic during the second quarter of 2020 and greater competition from other entertainment activities as societies are now opening up again. We expect to see positive growth for the Group on a yearly basis during the third quarter.

Our operating profit decreased compared with the same period a year ago, while we achieved stable earnings compared with the preceding quarter. This is despite a high level of investments and a number of important, strategic ventures, including our forthcoming launch in the USA, a stronger focus on sports with the acquisition of Expekt, and our new game studio. Marketing costs in relation to revenue were higher than the historic average, coupled among other things to the relaunch of Expekt and investments in a number of key markets in which we see high customer growth. Investments in marketing during the quarter weighed down earnings short-term but are driving value long-term and will also enable us to accelerate out of the revenue drop in Germany. As revenues increase, the share of marketing investment will decrease. At the same time, we have maintained good cost control, and our operating expenses have more or less been unchanged over the last three-year period.

THE NEW EXPEKT
In mid-May we consolidated the acquisition of Expekt, and shortly thereafter “the New Expekt” was launched with a large and attention-grabbing marketing campaign ahead of the Euro 2020 football championship. It was a successful start, and in a short time we nearly doubled Expekt’s revenue and market share in Sweden since completion of the acquisition.

GERMANY
The situation in Germany coupled to re-regulation, with strict product limitations, an extremely high gaming tax and a skewed competitive situation, is having a negative effect on the Group. Revenue in Germany decreased by 81% compared with a year ago and accounted for only 4% of Group revenue during the quarter. We believe it will take time to create a balanced and fair market climate and have therefore chosen to shift our investments to other, more profitable markets. Over the long term we still believe that Germany, with Europe’s largest population, offers great opportunities for the Group.

NORTH AMERICA
Our forthcoming expansion to the USA, starting with the state of New Jersey, is on track. We are currently working on adapting and certifying our technical platform, and during the autumn we will also begin establishing a local organisation. We expect to accept our first American customers during the first half of 2022.

The Canadian province of Ontario, which is home to roughly 40% of Canada’s population, is conducting preparations to introduce a local licence system for online gaming. LeoVegas has built up a strong brand along with a large and loyal customer base in Ontario and the rest of Canada, among other things with help from former hockey legend Mats Sundin. According to our assessment LeoVegas is one of the larger and most well-known casino actors in the Canadian market.

During the second quarter, North America accounted for 10% of the Group’s total revenue and grew 33%. In pace with our continued expansion in Canada and forthcoming launch in the USA, revenue from North America will increase. This is in line with the Group’s strategy to diversify our revenues.

COMMENTS ON THE THIRD QUARTER
Revenue for the month of July amounted to EUR 32.8 m (30.7), corresponding to positive growth of 7%. Adjusted for Germany, the Group’s growth in July was 23%.

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EU gambling policy

Romania Proposes Raising Gambling Age to 21 and Restricting Online Advertising

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Romanian lawmakers have introduced new legislative proposals aimed at tightening gambling access and advertising rules, particularly to protect young people. The bills, submitted by MPs Raluca Turcan (PNL) and Diana Stoica (USR), would raise the minimum legal gambling age from 18 to 21 and restrict online gambling advertising between 06:00 and 24:00.

Under the proposals, individuals under the age of 21 would be prohibited from participating in gambling activities, while gambling ads would be banned across online platforms during daytime hours. The legislation also seeks to outlaw the use of influencers, athletes and public figures in gambling promotions.

Protecting young audiences

“We have an obligation to protect our children from the threat of gambling,” said USR deputy Diana Stoica, citing studies showing early exposure to slot machines and online betting among Romanian minors. According to Stoica, brain development, particularly in areas linked to impulse control and decision-making, continues until around the age of 21, making younger individuals more vulnerable to gambling addiction.

“One in four adolescents has played on these so-called ‘machines of death’ before turning 18,” she added, arguing that the legislation is a necessary step to reduce risks.

Aligning with European trends

PNL deputy Raluca Turcan called the proposed age increase a “simple change with deep effects,” noting that countries including Portugal, Greece and Moldova have adopted similar measures. She highlighted that individuals aged 18 to 21 often face increased financial pressure and impulsivity as they enter adulthood, making them a key target group for gambling marketing.

“By raising the age threshold, we protect young people during a vulnerable stage,” Turcan stated, referencing international examples where similar policies reportedly reduced early-age indebtedness and problem gambling cases.

Tighter ad rules and warning messages

The draft legislation further proposes:

  • A complete ban on online gambling advertising between 06:00 and 24:00

  • A ban on influencer and public-figure participation in gambling promotions

  • Mandatory visible harm-prevention warnings across digital and physical gambling environments, modeled after tobacco and alcohol regulation

The measures would amend Romania’s existing legal framework under Emergency Ordinance 77/2009.

What comes next

The bills will now proceed through the legislative process, including debate and committee review. If adopted, the changes would introduce some of the most restrictive gambling-advertising and access rules in the region.

The initiatives reflect an ongoing trend across Europe, where regulators are increasing focus on consumer protection, youth safeguards, and advertising limitations in the gambling sector.

The post Romania Proposes Raising Gambling Age to 21 and Restricting Online Advertising appeared first on European Gaming Industry News.

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Digitain

Digitain Group Founder Honored with Outstanding Contribution to Gaming Award at SiGMA Central Europe 2025

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Digitain Group is proud to announce that its Founder, Mr. Vardges Vardanyan, has been recognized with the Outstanding Contribution to Gaming Award at SiGMA Central Europe 2025.

For over 26 years, his vision and leadership have brought remarkable value to the iGaming industry — driving innovation, setting new standards in technology and compliance, and championing a culture of responsibility and integrity that continues to elevate the entire iGaming ecosystem.

Vardges Vardanyan, Founder of Digitain Group, commented: “I am deeply honored to receive this special award at the SiGMA Central Europe. This recognition is not only a personal milestone but a reflection of the dedication, innovation, and integrity that highlight Digitain Group’s vision. For over two decades, our mission has been to empower partners with technology that drives progress and responsibility across the industry. I am extremely proud of what we’ve built together — and even more inspired by what lies ahead as we continue to evolve.”

As a global B2B technology provider, Digitain Group remains dedicated to creating, delivering, and enhancing advanced software solutions that empower partners worldwide. Digitain’s platforms, products, and services are built to provide operators across diverse markets with reliable, flexible, and secure iGaming solutions.

With over 5,000 professionals and offices in Armenia, Romania, Malta, and Spain, and with an upcoming expansion into LatAm, Digitain continues to drive forward with the same passion and purpose inspired by Mr. Vardanyan’s legacy.

The post Digitain Group Founder Honored with Outstanding Contribution to Gaming Award at SiGMA Central Europe 2025 appeared first on European Gaming Industry News.

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Best Marketing Campaign 2025

SOFTSWISS Wins Best Marketing Campaign Award in iGaming

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SOFTSWISS, a global tech leader in iGaming solutions, has won the Best Marketing Campaign 2025 title at the SiGMA Central Europe Awards for its ‘Hungry for Success? Dive in with SOFTSWISS’ campaign. The award recognises outstanding creativity, innovation, and execution in marketing campaigns that drive measurable engagement and have a significant industry impact.

The campaign made its debut at ICE Barcelona 2025, where SOFTSWISS introduced the image of a shark as a symbol of its strength, precision, and the drive to stay ahead. It encouraged partners to ‘dive in’ and grow together with SOFTSWISS, reinforcing the brand’s position as a technology leader in iGaming.

Alongside an interactive stand experience, the campaign featured a collaborative art performance by a renowned Spanish street artist Slim Safont, who created a striking shark mural live at the entrance of the expo venue. This activity reinforced the campaign’s message, leaving visitors with an unforgettable experience of interacting with the SOFTSWISS brand.

Across digital channels, ‘Hungry for Success’ achieved exceptional results, delivering strong visibility and engagement on LinkedIn, Instagram, and Google Ads. The campaign outperformed expectations in terms of impressions and reach, while earning outstanding participant feedback for its creativity and execution.

Valentina Bagniya, Chief Marketing Officer at SOFTSWISS, shares: “Hungry for Success isn’t just a campaign – it’s our mindset. It captures who we are as a brand: ambitious, brave, and determined to lead. Winning at the SiGMA Central Europe Awards proves that when creativity meets clarity and conviction, it resonates and delivers real results.”

Earlier in 2025, the company received the Best Marketing Campaign award for its ‘Cheers to 15 Years’ anniversary concept at SiGMA Africa. Later in the year, SOFTSWISS earned double recognition at the EGR Marketing & Innovation Awards. The team was named Marketing Team of the Year for its creative use of data and technology, while Valentina Bagniya, CMO at SOFTSWISS, was honoured as B2B Marketer of the Year for transforming the company’s marketing function into a global brand powerhouse.

Expanding its influence, SOFTSWISS has released the 2026 iGaming Trends Report, the fourth edition of its annual data-driven study. The ebook provides fresh insights into the industry’s future for operators, suppliers, and industry stakeholders. Visitors of the SiGMA Central Europe Summit can learn more about these trends during the 2026 iGaming Trends Marathon, which will take place on 5 November 2025, from 12:00 to 16:00, on the People, Partners & Performance Stage.

 

About SOFTSWISS

SOFTSWISS is an international technology company with over 15 years of experience in developing innovative solutions for the iGaming industry. SOFTSWISS provides comprehensive software for managing iGaming projects. The company’s product portfolio includes the Casino Platform, the Game Aggregator with over 36,700 casino games, Affilka Affiliate Platform, the Sportsbook Platform, and the Jackpot Aggregator. The expert team, based in Malta, Poland, and Georgia, counts over 2,000 employees.

The post SOFTSWISS Wins Best Marketing Campaign Award in iGaming appeared first on European Gaming Industry News.

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