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LeoVegas AB Q1: Quarterly report 1 January – 31 March 2021

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“A good start to the year and increased focus on sports”
Gustaf Hagman, Group CEO

first quarter 2021: 1 january–31 march        

  • Revenue increased by 8% to EUR 96.7 m (89.4). Organic growth in local currencies was 8%.
  • Organic growth when excluding Germany was 19%.
  • Adjusted EBITDA was EUR 10.9 m (9.0), corresponding to an adjusted EBITDA margin of 11.3% (10.0%). Reported EBITDA was EUR 10.4 m (9.0).
  • The number of depositing customers was 462,386 (413,269), an increase of 12%.
  • Adjusted earnings per share were EUR 0.07 (0.06).

events during the quarter

  • LeoVegas acquired Expekt from Betclic Group for a total purchase price of EUR 5 m. Expekt is one of the most well-known sports betting brands in Sweden and the Nordic markets, and strengthens LeoVegas’ brand portfolio ahead of the intensive sport event years in 2021 and 2022. The acquisition of Expekt is expected to be completed in May 2021.
  • LeoVegas’ shares were taken up for trading in USD on OTCQX Markets in the USA. This is a way for the company to meet a steadily growing interest from US investors.
  • Via LeoVentures, LeoVegas invested EUR 1.1 m for 25% of the shares in SharedPlay, a company that makes it possible for players to share their gaming experiences with others through the industry’s first multiplayer solution.

Events after the end of the quarter

  • Preliminary revenue in April amounted to EUR 32.7 m (37.5), representing negative growth of 13%. Excluding Germany, revenue grew 4%.
  • The Royal Panda brand has been migrated to the Group’s proprietary technical platform, Rhino. All of the Group’s wholly owned brands are now run on the Rhino platform.
  • LeoVegas has started its own game studio, Blue Guru Games, to develop new and innovative games. The studio will develop exclusive games for LeoVegas as well as for other operators. The first games will be released in late 2021.
  • LeoVegas was issued a sanction fee of SEK 2 m by the Swedish Gambling Authority. The company intends to appeal the decision.

 

COMMENT FROM GUSTAF HAGMAN – GROUP CEO

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FIRST QUARTER
We are pleased with the start of the year and increased our revenue by 8% during the first quarter. Excluding Germany, which has been affected by new restrictions related to the upcoming regulation, revenue increased by 19%. Our growth has been driven mainly by our loyal customer base, which reached a new record level during the period. We have maintained a high pace of investment, and despite this we achieved adjusted EBITDA growth of 22%, driven by our scalability and good cost control.

ACQUISITION OF EXPEKT – increased FOCUS ON SPORTS BETTING
During the first quarter we acquired the well-known sports betting brand Expekt. The acquisition gives us one more leg to grow on and complements the Group’s brand portfolio and product offering in a strategically good way. We are looking forward to Expekt once again becoming a leading sports betting brand in Sweden and thereafter also in other markets. The acquisition is expected to be completed in May in connection with our migration of the brand to our own technical platform. The timing of the acquisition is perfect as we are now facing two years filled with major sports events, and we plan to launch Expekt well in advance of the UEFA European Football Championship, which starts in June.

MarKETS
During the first quarter we saw the full effect of the changes taking place in the German market. Operators in the market are acting differently with respect to implementing the new restrictions, which unfortunately has led to a skewed competitive situation. The assessment is that up to 70%-80% of the German market for casino has temporarily been shifted over to operators that have chosen to not adapt to the coming market regulation. Our hope is that this will soon be sorted out by the German authorities, which is a prerequisite for the licence system’s success, with a high level of channelisation and consumer protection. Germany generated approximately 6% of the Group’s total revenue during the first quarter, compared with 15% a quarter earlier. Despite this development in Germany we delivered good growth at the Group level, which reflects our strong performance in many other key markets, including Italy, Canada and Spain. Our business is more diversified than ever before, and growth at the Group level is proof that our data-driven way of working and allocating marketing investments is effective.

I also want to highlight Sweden, where the strength of the LeoVegas brand and our product breadth is appreciated by our customers. Our Swedish customer base set a new record during the quarter, and in March we grew on a yearly basis for the first time since the temporary Covid-19 restrictions were implemented in July 2020.

leoventures
The first quarter was an intensive period for our investment vehicle LeoVentures. Among other things we invested in SharedPlay, a company that makes it possible for players to share their gaming experiences with others through the industry’s first multiplayer solution. For a long time we have created successful,  exclusive games with the help of external providers. We are now taking the next step by starting our own game studio – Blue Guru Games. This venture will give us full control and greater flexibility in developing new games, a unique offering to our players, and also a new revenue stream for the Group.

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COMMENTS ON the SECOND QUARTER
Revenue for the month of April amounted to EUR 32.7 m (37.5), corresponding to negative growth of 13%. Excluding Germany, growth in April was positive at 4%.

Finally I want to urge you to be on the lookout for the new launch of Expekt in Sweden towards the end of May – you won’t be disappointed!

Presentation of the report – today at 09:00 CET

  • To participate in the conference call, and thereby be able to ask questions, please call one of the following numbers: SE: +46 (0) 8 50 69 21 80, UK: +44 (0) 20 71 92 80 00, US: +1 63 15 10 74 95, Confirmation code: 6888544 or join at the web https://edge.media-server.com/mmc/p/x6q2utt4

This information is information that LeoVegas AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation 596/2014. The information was submitted for publication, through the agency of the contact person set out below, at 08:00 CET on 6th of May 2021.

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Portuguese start-up FootAR is enhancing the Euro 2024 experience with AR tracking and smart data

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With the summer of football heating up, FootAR is showing how live sports can be enhanced with augmented reality. It has created a real-time companion that gamifies the sports experience and emulates player movements with 3D foosball-like figures, adding smart stats and prizes for fans.

FootAR has already made its mark in Portugal, where two notable media organisations have integrated it into their coverage. GMG (Jornal de Notícias) and SportsMultimedia (VSports) use FootAR to bring a 3D experience to Euro 2024 fans.

FootAR is one of 22 companies in the Portuguese games development and creative industries cluster eGamesLab. This ambitious R&D project led out of Madeira aims to attract and develop new talent and technology focused on the growing national video game industry.

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FootAR’s platform went live earlier this year. The initial rollout covered Portuguese league games, partnering with some of the biggest Portuguese clubs like SC Braga and CD Nacional before expanding to cover all the matches at Euro 2024. It offers real-time statistics, in-depth analysis, and seamless integration for news outlets covering live games on their websites.

Fans can relive every goal, track every pass, and stay connected to the game with real-time updates and AR-enhanced visuals. The technology allows fans to rewatch the most significant moments in a live game and view them from multiple angles, together with an accompanying audio commentary.

“We understand the insatiable appetite for football data and the desire to go beyond the final score,” says David Olim, Co-Founder of FootAR. “FootAR empowers fans to delve deeper into the action, following their favourite players, teams, and leagues, and is the perfect way for enthusiasts to analyse the beautiful game – but that’s just the start. As a father of two young children, my goal is to shape how younger generations immerse themselves in these communal experiences. Looking to the future, our interests go way beyond sports. We are starting with football, but within five years, we will have personalised experiences for clubs, artists, and brands to build their own interactive events. 

 

Key Features:

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Augmented Reality – relive the match’s key moments from multiple angles through 3D AR visuals, and get closer to the action with real-time data overlays to follow the game how you want to.

Custom Data Suite – access in-depth statistics for players and teams such as expected goals, pass accuracy and tackles lost. In-game notifications can be customised, ensuring key moments in the game are never missed.. 

Audio Commentary – FoorAR can sync with local radio broadcasts, creating a combination of live commentary and live data which really brings events to life.

With FootAR, new avenues for monetizing audience engagement and sponsors are available to media companies and clubs looking for a solution to drive greater fan engagement, as well as opening up new revenue streams through in-game activations.

Fans can transform their football experience today by downloading FootAR for free on Android and iOS and using the Web/Desktop app. Apple VisionPro and Meta Quest versions of the experience are also being developed and will be released in Q3 2024.

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Week 27/2024 slot games releases

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Here are this weeks latest slots releases compiled by European Gaming

Evolution announced the launch of Balloon Race, its latest-generation online slot game that brings together traditional, much-loved slot features with the excitement of a live game-show-style bonus round featuring a ball drawing machine. Balloon Race, in which players soar high and accumulate multipliers in Qualification and Top-Up phases, follows on from the likes of Evolution’s hugely successful Crazy Coin Flip and Crazy Pachinko slot games with live bonus rounds.

Evolution launches Balloon Race, colourful, latest-generation online slot with live bonus round

 

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Blueprint Gaming’s renowned folklore series returns in style as a host of thrilling mechanics lead the way including the lavish Cash Strike Bonus round and the studio’s brand-new Rapid-Fire Jackpots™ in Luck O’ The Irish Cash Strike. The classic 3×3 grid takes its place under a true Irish rainbow in the countryside as a feast of fruits is accompanied by diamond and golden coin symbols in the base game.

Boundless gold awaits in Blueprint Gaming’s Luck O’ The Irish Cash Strike

 

Booming Games launches yet another instalment in its buffalo migration adventure with its latest game – Buffalo Hold and Win Extreme. This is a stunning 5×3, 25 payline slot which is set against the stunning backdrop of grasslands and canyons where players will experience the most thrilling and hazardous part of the buffalo trek.

 

The team at Blue Guru has paid homage to this unpredictability and insanity in St. Louis 1904 which is packed with bonus features that will keep players pounding the dusty tracks of Missouri in search of victory and potentially big wins. This includes Instant Money Medal Symbols and a Progressive Multiplier Free Games Bonus. Free Spins are triggered when three or more Scatter symbols land on the reels – in the base game, if two Scatters land a second chance feature can trigger.

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AC MILAN AND BOOMERANG SIGN A NEW REGIONAL PARTNERSHIP DEAL

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The global company offering a wide range of iGaming products becomes Rossoneri’s Official Regional Betting Partner in Europe

AC Milan is delighted to announce a new partnership with Boomerang, which will see the company become the Official Regional Betting Partner of the Rossoneri in Europe.

Boomerang, a global company founded in 2021, has rapidly established a strong worldwide presence. Its portfolio features a diverse range of sports betting products, including the flagship brand – Boomerang Sportsbook. The company has demonstrated a commitment to innovation and customer satisfaction, underscored by numerous industry awards.

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This partnership represents a significant milestone for both AC Milan and Boomerang. Both organizations are dedicated to building solid brand credibility and creating an innovative, long-term vision. Boomerang’s rapid growth and dynamic approach align perfectly with AC Milan’s commitment to excellence, strategic global growth, and fan engagement.

Maikel Oettle, Chief Commercial Officer of AC Milan, commented: “We are excited to team up with Boomerang, as this partnership holds great value for our fans. Together, we aim to enhance fan engagement across Europe, offering unique experiences that celebrate our shared passion for sports. By working closely with Boomerang, we look forward to creating memorable moments and strengthening our connection with sports enthusiasts in Europe.”

Ivan Kraynov, Co-Founder of Boomerang, added: “We are incredibly excited to become the Official Regional Betting Partner of AC Milan. This collaboration with the Rossoneri marks a significant milestone for Boomerang. We join forces with the team with which we share our commitment to winning, bravery, and innovation. Together, we’ll strive to drive sports trends and deliver an exclusive experience to fans, partners, and users.”

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