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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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10 Santa’s Reindeers

Push Gaming unwraps festive fun with 10 Santa’s Reindeers and Santa Hopper

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B2B gaming supplier Push Gaming is spreading a double-dose of holiday cheer with the launch of 10 Santa’s Reindeers and Santa Hopper, two seasonal slots packed with excitement, charm, and immersive gameplay.

Leading the festive line-up is the latest Push Actions title, 10 Santa’s Reindeers, arriving in lobbies from 26th November. Inspired by Push’s hit game 10 Swords, this new release retains the popular scatter-pay mechanic while adding a fresh twist with Jackpot Reindeer symbols. These not only act as scatters but also grant instant prizes, offering players even more to aim for on each spin.

The true magic happens in the bonus game, where players unlock additional reel levels as they progress, boosting the chances of landing high-value Reindeer symbols and increasing win potential.

The base game provides the opportunity to enhance the gameplay once the bonus lands, thanks to the Push-Up Mods feature, which allows players to expand the reel set early, increasing their chances and ensuring a more powerful bonus round.

Arriving a week earlier on 19th November, Santa Hopper presents a more whimsical take. Set in a snowy wonderland, this charming slot offers light-hearted fun with the Santa and Jingle Drop features, both designed to keep gameplay unpredictable and engaging.

The latest addition to the Push Originals stable, it flexes its appeal to casual players with vibrant visuals, catchy mechanics, and lively pacing. Its approachable style and festive vibe make it an ideal choice for players looking for light-hearted entertainment with strong seasonal appeal.

George Fil, Director of Product Strategy at Push Gaming, said: “Christmas is always a special time in the slot world, and this year we wanted to offer something for everyone. 10 Santa’s Reindeers is packed with action and surprises, while Santa Hopper brings a more playful, unpredictable energy.

“Both are built to deliver that festive buzz players love, and we’re really excited to see them go live.”

The post Push Gaming unwraps festive fun with 10 Santa’s Reindeers and Santa Hopper appeared first on European Gaming Industry News.

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Amie Kadhim Head of Commercial Yaspa

Over a Quarter of Brits Will Ditch Slow Betting Apps: New sports betting survey reveals

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Payment provider to the gambling industry unveils its sports betting sentiment survey, assessing trends in the industry and attitudes towards safer gambling

  • Slow tech and delayed payouts is a crucial factor in sports bettors avoiding certain bookmakers
  • 58% of bettors cited security and fraud prevention as the most important factors in choosing a bookmaker
  • This rises to 70% of e-sports bettors and 62% of football bettors

A new survey on sports betting sentiment has revealed that over a quarter (27%) of Britain’s bettors said slow technology, including deposits and withdrawals, is the main reason they would avoid using a particular bookmaker or their app.

The research, commissioned by payment provider Yaspa, highlights that a seamless and fast user experience is no longer a luxury but a critical factor for customer retention. The findings show this frustration is even more pronounced among younger, active bettors, with 47% of 25-34 year olds and 61% of e-sports bettors citing slow tech as a major deterrent.

Beyond speed, the survey of 2,000 UK adults underscores that security is a paramount concern for consumers. When deciding which bookmaker to use, 58% of bettors and 40% of all Brits cited security and fraud prevention as the most important factors. This demand for trust and safety is a dominant theme among the industry’s most engaged customers, with 62% of football bettors and 70% of e-sports bettors rating security as their top priority, sending a clear message that operators must prioritise robust fraud prevention.

As operators look to address these dual demands for speed and security, the research indicates a strong and growing familiarity with modern payment solutions. Overall, 44% of Britons are familiar with ‘Pay by Bank’, a method that offers fast, direct, and secure account-to-account payments. This awareness rises significantly among active bettors, with 66% of football bettors , 78% of cricket bettors , and 82% of e-sports bettors already familiar with the technology, suggesting a market that is ready to adopt safer and more efficient payment infrastructures.

Key survey findings include:

  • Technology is a dealbreaker: Slow technology is a major deterrent for customers. 43% of all bettors, 47% of football bettors, and 61% of e-sports bettors state that slow tech, including payments and payouts, is a primary reason for avoiding a specific bookmaker.
  • Security is paramount: Security and fraud prevention are the most important factors for bettors when choosing a bookmaker. This was cited by 62% of football bettors and 70% of e-sports bettors.
  • Affordability checks impact behaviour: Only 32% of football bettors and 17% of e-sports bettors would continue to use traditional operators if mandatory affordability checks were introduced, presumably due to adding extra barriers to play with extra, disruptive checks.
  • Football and Horse Racing Dominate: Football is the most popular sport to bet on, with 35% of Brits having done so in the last year, followed by horse racing (19%), tennis (9%), and boxing (8%).
  • High Bettor Loyalty: The majority of bettors stick to their favourite Spotify ts. 89% of those who bet on football plan to do so again in the next 12 months, and 82% of horse racing bettors intend to do the same.
  • The 25-44 Age Group is Key: While the 25-34 demographic is the most active overall , the 35-44 age group also shows strong engagement, with 54% having bet on football and 21% on horse racing.

Over a third (35%) of Brits have placed a bet on football in the last 12 months, making it the most popular sport for betting. Horse racing was the second most popular, with 19% of Brits placing a bet in the last year.

Men are significantly more likely to bet on sports than women. Despite it being the most popular sport for women to bet on, 52% of men bet on football compared to just 18% of women, the survey found. The most active age group for betting is 25-34 year-olds, with 62% having placed a bet on football in the past year.

E-sports has proved to be the fifth most popular sport to bet on in the UK, equal with cricket, golf, and ahead of rugby. Despite its popularity with the younger generation, tennis (21%), horse racing (18%) and boxing (17%) are all more popular with 25-34 year olds.

Around half of Brits placed a bet in the last 12 months (48%) and this increases with younger generations. The survey revealed most Brits aged 18-44 have placed a bet in the last year. In fact, 45% of 18-24s, and just 26% of 25-34s and 33% of 35-44 year olds said they hadn’t placed a bet in that period, suggesting younger generations are more likely to gamble on sport than not.

Amie Kadhim, Head of Commercial, Yaspa, said: “This data clearly shows that football remains the dominant force in the UK sports betting market, but it also reveals a customer base that is increasingly sophisticated and demanding. Today’s bettors expect a seamless, fast, and safe experience, and they are not afraid to abandon operators who fail to provide it.

“The findings reveal that nearly half of football bettors are put off by slow payouts, and anecdotally, this is something we and the industry see constantly on review sites and from customer feedback. With the survey also revealing over 60% of bettors prioritising security, when people bet, they want their money and personal details to be safe. And when they win, they want their money quickly.

This is where innovations like Pay by Bank are crucial. By offering instant and secure account-to-account payments, operators can directly address these key customer concerns, building trust and retaining a greater share of the market.

Open banking technology also allows for additional features to be brought into the payment journey and when blended with machine learning this can be a powerful instrument for both bettors and operators alike. At Yaspa, our Intelligent Payments enable operators to conduct consented checks, such as address and account verification, without adding extra steps for players to navigate, increasing the safety for players and operators without any additional input from the individual.”

The post Over a Quarter of Brits Will Ditch Slow Betting Apps: New sports betting survey reveals appeared first on European Gaming Industry News.

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BETBY

BETBY PUBLISHES DATA-DRIVEN REPORT HIGHLIGHTING HOW ITS HYBRID TRADING MODEL DRIVES OPERATOR SUCCESS

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BETBY, the leading supplier of cutting-edge sportsbook solutions, has published a new industry report titled “Trading, Liability & Risk Overview.”

The report explores how BETBY’s hybrid trading framework — combining global feed coverage with in-house control — empowers operators to protect margins, manage volatility, and deliver more flexible, localised betting experiences.

The report highlights:

✅ Hybrid model at scale: 100% of BETBY operators use hybrid trading
✅ Depth and responsiveness: ≈5,000 events traded monthly in-house
✅ Customisation speed: 10-minute delivery from operator request to market going live
✅ Operational reliability: ≈20 million bets processed monthly
✅ Proven resilience: FIFA Club World Cup and US Elections case studies

🔗 Download the report to discover how BETBY’s hybrid model is setting a new standard for trading flexibility and performance.

The post BETBY PUBLISHES DATA-DRIVEN REPORT HIGHLIGHTING HOW ITS HYBRID TRADING MODEL DRIVES OPERATOR SUCCESS appeared first on European Gaming Industry News.

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