Published
OnlineCasinoFinancial

NetEnt Q1 revenue and profit fall after Nordic "slowdown"

Nordic countries accounted for "almost the entire slowdown," as NetEnt suffered a year-on-year fall in both revenue and profit for Q1.

NetEntlogo

CEO Therese Hillman admitted to Gambling Insider in December she was not happy with the supplier’s recent financial performance.

But NetEnt has not yet been able to buck that trend, with a focus on improvement within the organisation and regulatory headwinds in Sweden attributed to its Q1 trading results.

Revenue fell 3% to SEK 418m ($43.7m), while operating profit dropped 6% to SEK 126m and net profit fell 18% to SEK 120m.

NetEnt did enjoy some success, however, with EBITDA growing 8% to SEK 196m, corresponding to a margin of 47%, an increase from 42.2% for Q1 2018.  

Hillman said: "The Nordic countries accounted for almost the entire slowdown, mainly due to lower volumes in Sweden as the new regulation was introduced at the start of the year.

"The new rules have impacted our customers and players to an extent that we had not foreseen; the combined effect of fewer players and lower average revenue per user has led to a weak start on the new regulated market."

NetEnt recently signed an online casino supplier agreement with DraftKings in New Jersey, as it bids to boost its current financial performance.


Casino News Sponsor
Premium+ Connections
Premium
 
Premium
 
Premium
 
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium Connections
Consultancy
Executive Profiles
Seminole Hard Rock Support Services
Seminole Hard Rock Support Services
Metropolitan Gaming
Holland Casino
Nederlandse Loterij
Follow Us

Facing Facts: Q1 2024 analysis from across the globe

Gambling Insider tracks the Q1 results of operators across t...

Taking Stock: A guide to sports betting operator and supplier prices

Gambling Insider tracks sports betting operator and supplier...

Tailor-made: The power of personalisation in the modern gaming industry

With insights from GR8 Tech, Greentube and the Oregon Lotter...

Sportradar and the Taiwan Sports Lottery: More offerings, greater efficiency

Danny Fok, VP of Strategic Projects at Sportradar, speaks al...