LeoVegas has reported a decrease in revenue of 3.5%, to EUR95.0m ($101.8m/PS82.5m).
LeoVegas secured a new gaming license in Germany, and sold its 25% stake in BeyondPlay for EUR1.9m to Bettor Capital.
LeoVegas’s acquisition Push Gaming, and MGM’s finalisation of its bid to buy the company were both completed in the last quarter.
LeoVegas reported that the gross gaming revenue in the Nordics fell by 3% annually, while it rose by 17% in its Rest of Europe segment. In the Rest of World, gross gaming revenues fell by 28%.
First quarter results
Cost of sales for the quarter was EUR14.6m. This is a slight decline of 6.1% on an annual basis. After gaming duty costs of EUR18.8m the total gross for the quarter reached EUR61.5m. This represents a 7.5% decrease.
Marketing accounted for EUR33.7m, the highest expense of the quarter. Personnel costs totaled EUR19.1m and other marketing expenses reached EUR17.0m.
The total was EUR5.3m, with EUR3.0m coming from other income and expense. The EBITDA (earnings before interest, taxes, depreciation, and amortization) was EUR3.0m.
The operating loss was EUR8.2m due to depreciation, amortisation and amortization costs of EUR4.0m plus EUR1.1m for the amortisation on acquired intangibles.
Other costs increased the loss to EUR9.3m. After income taxes of EUR784,000 the net profit was EUR8.5m. This represents an increase of 18.5% annually.
