LeoVegas Group AB has reported strong growth within its product verticals as the company seeks to expand its footprint beyond its home markets of Scandinavia.
In their Q1 2017 financial update, LeoVegas announced a corporate revenue lift of 49% to €44m, with 18.3% of its group revenues generated by regulated market activity.
The operator revealed a significant increase of 75,000 new depositing customers of for the first three months of 2017, which supported its high player activity of 170,000 active players.
These promising revenues mean that LeoVegas returned to positive figures on its corporate earnings performance, recording EBITDA of €6 million and operating profit of €5.5m.
Gustaf Hagman, Group CEO and co-founder, commented on LeoVegas’ Q1 performance: “In the first quarter, we started scaling our marketing efforts to continue to drive growth. In the second quarter, we expect our marketing to revenue ratio to be slightly higher than in the first quarter as we see positive return on investment on many new marketing efforts as well as opportunities to try new marketing channels that have the potential to scale up in the future.
“We continue to actively evaluate acquisition opportunities, and with a cash position of more than €60m, we have resources to carry out additional strategic acquisitions going forward. In summary, the first quarter was stable and represents yet another step on the path to our financial targets of €300m in revenue and a 15% margin by 2018.”