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Evolution Publishes Interim Report for the Third Quarter of 2023

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Evolution has published its interim report for the third quarter of 2023.

Highlights

Third Quarter of 2023

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  • Operating revenues increased by 19.6% to EUR 452.6 million (378.5)
  • EBITDA increased by 22.1% to EUR 318.6 million (261.0), corresponding to a margin of 70.4% (69.0)
  • Profit for the period amounted to EUR 272.8 million (221.3)
  • Earnings per share amounted to EUR 1.28 (1.04)

January-September 2023

  • Operating revenues increased by 26.1% to EUR 1,323.3 million (1049.3)
  • EBITDA increased by 27.6% to EUR 930.5 million (728.9), corresponding to a margin of 70.3% (69.5)
  • Profit for the period amounted to EUR 788.0 million (619.9)
  • Earnings per share amounted to EUR 3.69 (2.91)

CEO Comments:

“In the third quarter, Evolution reports revenue of EUR 452.6 million and EBITDA amounting to EUR 318.6 million, corresponding to almost 20 percent top-line growth and 70.4 percent EBITDA margin. This is a good financial performance and the underlying growth drivers for the business remains solid. During the third quarter we released more games than during any earlier quarter. A strong development that I am pleased with as entertaining games and a flawless player experience are the absolute most important factors for our long-term success.

“Our Live Casino revenue grew to EUR 385.8 million for the quarter and we see a higher demand for our product than what we currently can deliver. That is a measure of the phenomenal traction our games have. However, it also means we are not expanding our studios at the right pace. However, it also means we are not expanding our studios at the right pace. We have faced delays, and in some cases not executed fully, in several of our planned studio projects for this year but even more importantly we need to increase the pace of recruitment both in existing studios as well as to support new studios. We are working hard to get back on track in our existing locations and we will continue to invest in our network of studios and add new locations. We opened a smaller studio in Colombia just after the end of the third quarter. We plan to open one new studio in Europe later this year and 3-4 next year in Europe, North America and LatAm.

“RNG revenues amounted to EUR 66.8 million and declined 1.9 percent compared to the corresponding quarter last year. Despite the step back in year-on-year growth it was a quarter when we made progress in our RNG operations. Our release pace is now where we want it to be and all new games are from the third quarter on OSS (One Stop Shop). We are methodically and systematically moving our RNG business forward. Our earlier communicated goal for RNG growth remains but at the moment we focus on showing step-by-step improvements.

“We are focused on factors that are within our control when explaining our financial result. However, this quarter the impact from external factors such as currency effects are more significant than ever. The strengthening of the Euro against most currencies has affected our top line growth negatively during this year. Players deposit and play in many different currencies with our operators, the resulting GGR is converted to Euro which is the base for our invoicing. In the third quarter we estimate 6-8 percentage points negative headwind on revenue growth from currency effects when comparing revenues to the same quarter last year.

“The group EBITDA margin is 70.4 percent during the third quarter. We maintain our guidance of 68-71 percent EBITDA margin for the year. Coming into the final quarter of the year I do expect us to be in the upper end of that interval even with a full focus on expansion.

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“Our ability to deliver new and exciting player experiences is one of our main competitive advantages and I am pleased to say that we are on track to exceed our plan of more than 100 games released in 2023. In the third quarter we released 28 RNG titles and 8 Live games. We have had a continued strong development of our disco themed Funky Time which launched this spring, adding new dimensions to our popular Game Show portfolio. At the G2E show earlier in October we presented two new releases: Red Door Roulette — an innovative mash-up of Crazy Time and Lightning Roulette — and Video Poker, a Live Casino game offering the ultimate fusion of nostalgia and player-focused modern gaming technology. We also released many new and exciting slots, some of my personal favorites this quarter are The Crypt from Nolimit City and Max Megaways 2 from BTG. As stated, 2023 will be backend loaded in terms of releases both for Live and RNG and I am excited about what the last months of this year will bring from a product perspective.

“North America is a region that we expect to develop over many years as more US states regulate. The online casino market is still in an early stage of development. We continue to see growth for our Live product quarter to quarter in the existing states, while we in the past quarter take a step back in our RNG revenue compared to the second quarter. Together this results in a 9 percent growth in North America compared to same period last year but a slightly lower revenue in the third quarter compared to the second quarter. Asia and Latin America both grow 35 and 39 percent respectively from last year and Europe shows a steady 10 percent increase. The growth compared to third quarter of last year is organic in all regions as the latest acquisitions were included in the group then.

“In summary, the underlying growth drivers remain unchanged. We face a tougher macro climate today than one year ago and we are underserving the market at the moment, but we will continue to invest, optimize recruitment and, as always, push for growth through focus on product innovation. Our financial strength will continue to serve us well as we can continue to invest without interruption and grow. We remain committed to delivering new thrilling experiences to new and existing players and continue to strive to be just a little better every day. I look forward to the final months of the year and onwards into 2024.”

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Melco’s Cyprus “Glow Your Way to Macao” Roadshow Promotes Macao’s Status as a Leading Leisure and Business Travel Destination to European and Arabian Markets

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With the aim of supporting the SAR government’s plans to promote international travel and boost tourism in Macao, on September 17, hosted the second in its series of “Glow Your Way to Macao” events, this time in Cyprus, to promote Macao’s status as a top travel leisure and business destination.

To appeal to travelers from European and Arabian countries, Melco invited approximately 150 guests from the government of the Republic of Cyprus, the Macao SAR government, travel agencies, business associations and media representatives from across Europe, the Gulf Cooperation Council (GCC) countries and Macao to the event hosted at City of Dreams Mediterranean. The roadshow introduced attendees to Macao’s diverse historical and cultural offerings and attractions, as well as Melco’s unparalleled and award-winning hotel, entertainment, dining and exhibition facilities.

Showcasing Melco’s steadfast commitment to promoting Macao as a global hub for both leisure and business travelers, Melco has set up sales offices to promote the city in Singapore, Hong Kong and the Philippines, and is currently in the process of setting up a sales office the Republic of Cyprus.

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Mr. Lawrence Ho, Chairman and CEO of Melco, said: “As a prominent integrated resort operator deeply rooted in Macao, we are thrilled to host our second ‘Glow Your Way to Macao’ event at City of Dreams Mediterranean. It serves as a testament to our support for the SAR government’s drive to attract further international travelers the city, and to expand Macao’s visitor sources in alignment with the “1+4” diversified development strategy. Being a study of contrasts — from its multicultural heritage to its culinary identity, Macao is a unique destination that truly never sleeps. We are thrilled to support the Macao government’s efforts to promote the city’s gastronomy, sporting events, culture, heritage and the creative arts as it continues to diversify and bloom. We are confident that Macao will grow to become an even more cherished and popular destination for travelers from Cyprus, the broader European and GCC market, as an exciting and remarkable city for visitors to immerse themselves in electrifying excitement.”

Mr. Andreas Gregoriou, Head of Presidency, Cyprus, said: “It is a great pleasure to welcome the Macao Authorities to Cyprus for this roadshow, showcasing Macao’s potential as a global destination for leisure and business travel. Cyprus, with its strategic location at the crossroads of Europe, Asia, and Africa, offers unparalleled access to markets in the wider Mediterranean, the Middle East, and beyond. As a member of the European Union, Cyprus serves as a gateway to one of the largest and most diverse economic zones in the world.”

Ms. Maria Helena de Senna Fernandes, Director of the Macao Government Tourism Office, said: “Macao and Cyprus have much in common and great room for cooperation in tourism and beyond. Helped by Melco Resorts & Entertainment’s City of Dreams Mediterranean and its Macao Sales Office in Cyprus, I believe that we can spark a long-lasting friendship and cooperation between our two destinations. We look forward to joining hands with Macao’s integrated resort enterprises to create more cooperation and jointly expand the international visitor source markets.”

Mr. Sam Lei, Director of Commerce and Investment Promotion Institute (IPIM) of Macao SAR, said: “As we strive to enhance Macao’s MICE development, it is great to see Melco continue to implement initiatives to promote the city and its MICE infrastructure to overseas markets, this time to audiences in Europe and the GCC. We will continue to leverage Macao’s unique advantages by collaborating with cross-sector stakeholders to attract more professional and international events, and make the ‘Golden Calling Card’ of Macao as an international metropolis shine brighter.”

The post Melco’s Cyprus “Glow Your Way to Macao” Roadshow Promotes Macao’s Status as a Leading Leisure and Business Travel Destination to European and Arabian Markets appeared first on European Gaming Industry News.

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Rossi McKee will Participate in Omnichannel Strategy Panel at SBC Summit 2024

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Rossi McKee, entrepreneur, co-founder of Telematic Interactive, CT Interactive and CT Gaming, will participate in the panel discussion at SBC Summit 2024 titled “Omnichannel Strategy for Enhanced Customer Experience”. The session will take place on Tuesday, September 24, 2024.

The discussion will address how businesses can leverage the latest technologies to ensure a seamless experience across online and offline platforms. McKee, alongside other panellists, will explore how lessons from online gaming, such as personalised marketing and advanced data analytics, can enhance land-based casino experiences. Panellists will also evaluate the current state of omnichannel implementation in the industry, considering whether businesses are fully capitalising on its potential to drive engagement and satisfaction.

Additionally, the conversation will cover how omnichannel strategies align with modern consumer expectations, aiming to provide a cohesive and exceptional customer experience.

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McKee’s extensive expertise in the gaming sector will provide valuable perspectives on navigating these complexities. Attendees can look forward to gaining actionable insights on creating a unified customer experience that bridges digital and physical touchpoints.

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Play’n GO Honoured at Corporate Star Awards Ceremony

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Play’n GO, the world’s leading casino entertainment provider, was honoured as a global leader in Environmental Social Governance (ESG) practices at the prestigious Corporate Star Awards held in Amsterdam. The company was the only iGaming company shortlisted at the ceremony, and was nominated for the Best ESG Report award, placing it among renowned organisations such as Globo, EVS and SONY Entertainment, who won the category overall.

The Corporate Star Awards are known for recognising excellence in corporate reporting and sustainability, and Play’n GO’s nomination for the Best ESG Report Award is testament to its commitment to transparency and responsible business practices.

Play’n GO’s ESG Report provides comprehensive insights into the company’s environmental initiatives, social impact and governance practices, and showcases Play’n GO’s commitment to reducing its carbon footprint, promoting diversity and inclusion, and maintaining high ethical standards throughout its operations.

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The Corporate Star Awards recognise organisations that go above and beyond in their commitment to ESG practices, setting a benchmark for corporate responsibility. Play’n GO’s inclusion among the shortlisted companies underscores its position as a global leader in the iGaming industry and its dedication to sustainable business practices.

Johan Törnqvist, CEO and co-founder of Play’n GO, said: “We are truly honoured to be recognized as a global ESG leader at the Corporate Star Awards. This nomination is a testament to our unwavering dedication to sustainability and responsible business practices. We believe that a strong ESG framework is essential for the long-term success of any organization, and we are proud to be at the forefront of this movement. We look forward to participating in next year’s awards, and to furthering our own ESG initiatives.”

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