The leading casino software developer NetEnt has revealed its year-end report for 2019 together with a Q4 report (October – December 2019) which marked a revenue increase of 10%.
Roaring Past Competition
According to NetEnt group CEO Therese Hillman, the company has seen “all-time highs” in the number of players for NetEnt’s Live Casino, while the numbers went beyond expectations since the acquisition of Red Tiger Gaming, which marked an important milestone for the company.
“Red Tiger now forms a vital part of our ongoing improvement efforts within the NetEnt Group. We see good conditions for NetEnt to deliver growth in 2020, supported by our combined game portfolio and Live Casino”, Hillman commented.
The fourth quarter was truly a busy period for the company.
NetEnt released 13 slot games with Ozzy Osbourne standing as the most notable title. At the same time, Red Tiger contributed with 9 slot games, of which Dynamite Riches proved to be most successful.
The company introduced the platform service called NetEnt Connect with Red Tiger highlighted as first supplier. Moreover, the company made firm steps forward in the live dealer vertical by launching a new Auto-Roulette studio.
The Numbers Don’t Lie
NetEnt revenues for the full year amounted to 1,793 SEKm which is an improvement to last quarter’s 1,782 SEKm. A 10 percent rise took the numbers to the highest level ever. Earnings after tax came up to 429 (577) SEKm. Earnings per share were of SEK 1.79 (2.40) before and after dilution.
Earnings before interest, tax, depreciation and amortization (EBITDA) amounted to SEK 261 (204) million in the quarter, of which SEK 70 million was contributed by Red Tiger.
The EBITDA margin was 51.0 (43.9) percent. Red Tiger was acquired with the objective to create shareholder value through increased growth and profitability for the new group.
What the Future Holds?
NetEnt is currently working on a new live dealer studio in Malta and will soon be offering physical tables to customers for the first time-ever. Coming as an alternative to the company’s tables with blue screen technology, the new studio should contribute to further increase in revenues from Live Casino in 2020.
The company used ICE exhibition in London to unveil a number of products – such as a new jackpot concept called Starburst Power Pots, or Gordon Ramsay branded slot game, Street Fighter and Fashion TV.
NetEnt has got high hopes for the future and Theresa Hillman is confident the company will see them through.
“Our global distribution and two strong brands give us the right basis to increase our market shares in online casino. We see good conditions for NetEnt to deliver growth in 2020, supported by our combined game portfolio and Live Casino”, Hillman commented.
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