LeoVegas revenue up 40% in Q3 2017

ish gaming company LeoVegas has announced a 40% year-on-year rise in its revenue for the third quarter of 2017.

In its third financial filing of the year the company reported revenues of €55.6m during a three month period, beating the €39.7m posted during the corresponding period of 2016.

Deposits made during the period increased by 56% year-on-year, rising to €193.1m. The number of depositing customers also increased, rising 30% to 202,980 from the previous total of 156,389.

Earnings before interest tax depreciation and amortisation dropped from the €9.8m in the third quarter of 2016 to €7.6m during the same period of this year, while operating profits decreased from €9.4m in Q3 2016 to €6.9m in Q3 2017. The company have attributed these decreases to increased corporate activity undertaken in preparation for a listing on Nasdaq main stock exchange in Stockholm.

The news follows the company agreeing a $100m financing package to purchase online casino brand Royal Panda, a move which has caused the company to adjust its financial targets for the next few years. As a result of legislatory changes in the Australian gambling industry, LeoVegas were forced to close their Australian operations on 10th September.

Despite the financial issues, LeoVegas CEO Gustaf Hagman remained bullish about the future saying: “This fine start to the fourth quarter shows that even though we have closed Australia for business, it has not had an appreciable impact on our revenue.“

“During the fourth quarter we expect marketing in relation to revenue to be higher than in the third quarter. With a great acquisition, a good start to the fourth quarter and a continued strong cash position, we continue to have tremendous opportunities going forward, and we are all looking forward to an exciting fourth quarter.”

In a company reshuffle, LeoVegas Co-founder Robin Ramm-Ericson will take on the post of Managing Director of LeoVentures, leaving the Chief Experience Officer role in the executive management team, and remains as senior executives in the Group.

LeoVegas have also added a Chief Product Officer role to the executive management team appointing former Head of Product Jarl Modén to the position.