Internet betting group LeoVegas has posted their second quarter financial results, noting that the company brought in record revenues during the period.
Key financial indicators for the second quarter ending June 30th, 2018 were:
- EBITDA more than doubled to €15 million when compared to the same period last year.
- Revenues up 76% to €87.4 million, aided by the impact of purchasing Rocket X and Royal Panda
- Depositing customers reached 309,987, up 79% from last year
- Marketing costs were lower in relation to expected margins to revenue
Commenting on the results LeoVegas CEO Gustaf Hagman said, "We generated a record profit during the quarter, and the main explanation is lower marketing costs. Our data-driven marketing model works in such a way that we invest only if we see a sufficiently high return in our marketing channels.
"During the FIFA World Cup, many gaming companies that work primarily with sports betting significantly increased their advertising budgets, and as a result the long-term customer value of our marketing was deemed to be uncertain.
"Our models indicated not to advertise in certain channels, and accordingly we quite simply refrained. This in turn resulted in slightly lower growth but at the same time significantly higher EBITDA."
"This gives us great flexibility to be able to offer the best experience and adapt our offering to local preferences.
"Over time we see that it will be fully possible to use more providers for the same brand and thereby achieve the best possible sports betting experience for our customers."