NetEnt Posts Revenue Decline in Third Quarter

Swedish game developer NetEnt posted their third quarter 2019 financial results, noting a small decline in revenue for the period.

Key financial indicators for the period ending September 30th, 2019 were:

  • Revenue of SEK 437.4 million, down 1.3% from last year
  • Royalty revenues accounted for SEK 424.1 million, down 2.7% from last year
  • Setup fees of SEK 13.4 million, up 3.4% from last year
  • SEK 6 million from other sources generated
  • Red Tiger revenue accounted for SEK 30 million in revenues
  • Mobile games accounted for 65.3% of game win

Speaking about the results NetEnt CEO Therese Hillman said, "The primary reason for the lower revenues was attributed to continued weak developments in the Swedish market. Sweden accounted for 7 percent of the decrease, but Norway and UK also had a negative impact on revenues.

"On the positive side, it's worth highlighting the US, with continued strong growth in New Jersey and a great start in Pennsylvania during the quarter," she added. "Revenues from these two US states could continue to grow for many years to come to potentially account for a greater share of our total revenues in the future."

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Dustin Jermalowicz // News Editor
Dustin Jermalowicz
Dustin has a long-standing passion for gambling. He has been writing professionally on the subject and breaking industry news for Casino Listings since 2011. His favorite casino games include Blackjack, Poker, and Hi/Lo. A proud native of Detroit, Dustin currently lives in Michigan.
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bgsharpe
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25 October 2019 - 5:26pm
#1

They all blaming Swedish market these days for their lower revenues as it seems but I'm expecting this tendency to continue for Netent in the next months and why not years and they should blame themselves for that, I don't think the RTP of their slots have been nowhere near to that of 2-3 years ago.

WaroftheGods

caWaroftheGods
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28 October 2019 - 9:28am
#2

I agree with sharpe, I would also like to add my opinion to that. Providers like Play'n Go and Thunderkick among others are pumping out some great games, and they're gaining popularity fast. I was so happy NetEnt was back in Canada earlier this year, just to find myself playing on other slots more often.
A few NetEnt slots are near the top of my favourites list though, but I dont win very often playing them so I revert to other games with other providers.

sharpe

zaLambino
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29 October 2019 - 1:26pm
#3

Sharpe is spot on with is post , Also their competitors such as Play n Go and ThunderKick have been releasing much better slots and far more entertaining ones lately especially compared to Netents latest releases , I for one hardly ever play Netent slots these days

WaroftheGods

caWaroftheGods
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29 October 2019 - 11:07pm
#4

It's almost like NetEnt figured they didnt have to work to keep top spot once they got there. They figured they're at the top, sit back, put they're feet up and just relaxed lol.
I'm sure with those numbers now they're scrambling a little bit trying to figure out what to do next to gain some numbers again.
My prediction is for the rest of the year, they start pumping out the new games at higher pace, hoping they produce a big hit or two. I think us players are going to be served a bunch of flops that are absolutely horrible, with maybe a couple mediocre games in the mix.

sharpe

usbarbadosslim93
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1 November 2019 - 7:08pm
#5

Yeah, I want to see a bunch of new slots with some cool new features. Get back to the glory that once was NetEnt.

WaroftheGods

bgsharpe
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4 November 2019 - 10:14pm
#6
WaroftheGods wrote:

It's almost like NetEnt figured they didnt have to work to keep top spot once they got there. They figured they're at the top, sit back, put they're feet up and just relaxed lol.

Spot on Kris...just couldn't phrase that better...think you're spot on for the rest of your comment as well.

barbadosslim93 wrote:

Yeah, I want to see a bunch of new slots with some cool new features. Get back to the glory that once was NetEnt.

Amen.

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