Casino operator Kindred has posted a trading update, wherein they said that fourth quarter earnings could disappoint.
The group says that their EBITDA could drop by up to 50% from last year, due largely to thinner betting margins. The company's revenues may also drop around 4% to £235 million, although turnover did rise by 3%. Active customers were also up, reaching 1.6 million during the period. Margin was down from 9.4% to 8.1%, which contributed to the disappointing numbers.
Stricter gaming regulation in countries like Sweden also impacted the company's bottom line, due largely to restrictions on advertising and promotions. Dutch regulator Kansspelautoriteit also issued a huge €407,000 fine against one of Kindred's subsidiaries for targeting customers within the country.
We'll update readers as Kindred releases their full fiscal report.