LeoVegas Enjoys 60% Revenue GrowthTia Winter | 23 August 2017
Swedish mobile gaming operator LeoVegas has enjoyed a 60% jump in revenue in Q2, which it has attributed to the strength of its mobile gaming division. The operator noted in a regulatory report that its revenues grew to US$58.2 million in the period of April to June this year, jumping significantly from the $36.37 million it reported in the corresponding period of 2016.
The firm’s earnings before interest, tax, depreciation and amortisation (EBITDA) climbed back to $7.16 million in Q2, compared to a loss of around $2.93 million last year. LeoVegas also noted an increased margin of 12.4% for the period in review.
CEO and Co-founder of LeoVegas, Gustaf Hagman, commented that the sharp rise of revenues that the group has experienced could be credited to its reliance on its mobile gaming operations, which have continued to prove profitable since they began.
Firm Credits Mobile Growth And Expansions With Q2 Success
In a recent statement, Hagman noted that LeoVegas has clearly become one of the most innovative mobile-facing companies in the industry – something that it has gained attention for by being awarded countless iGaming accolades and mentions in industry publications, not to mention its impressive mobile gaming figures.
LeoVegas’ continued growth is proof that the company is positioned correctly within its mobile casino gaming focus, the executive explained. Further analysis of the group’s Q2 results has revealed a boosted operating profit of $6.5 million, compared to a loss of $3.8 million last year.
In previous years, LeoVegas has relied almost entirely on the Swedish iGaming market, which currently accounts for just 37% of its takings (around $21.11 million). Hagman noted that the firm’s expansion into the regulated markets of Denmark and Britain has helped in bolstering its revenues.
LeoVegas’ H1 Revenues Grow 55% Over 2016 Results
Looking at the broader picture, LeoVegas’ revenues for the first half of 2017 grew 55% over the previous year’s results, reaching $109.8 million.
Hagman noted that the operator’s development in Denmark has continued strongly, while its UK operations have also enjoyed an ‘impressive quarter’ in Q2.
This, he said, has given the firm strong momentum into the third quarter of the year, in which July already experienced a positive start. Net gaming revenues reached a new record high of EUR18.3 million at the beginning of the month, the CEO added.