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ZEAL Announces Successful Start to Fiscal Year 2023

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ZEAL, the leading German online provider of lottery products, has made a successful start to fiscal year 2023. This is evidenced by the key figures from the company’s first quarterly report.

ZEAL continued to expand its customer base by adding 143 thousand registered new customers. The CPL (cost per lead) of EUR 36.77 fell slightly year-on-year (2022: EUR 38.09).

The transaction volume increased by 11% to 201.2 million euros (2022: 181.2 million euros). This resulted in sales revenues of 26.7 million euros – an increase of 6% compared to the previous year. The company’s gross margin of 12.4% was 0.5% below the previous year’s level (2022: 12.9%) due to the product mix. Overall, ZEAL was able to increase EBITDA by 0.4 million euros to 9.3 million euros (2022: 8.9 million euros). EBIT also exceeded its prior-year figure at 7.1 million euros (2022: 6.8 million euros). Due to a EUR 0.8 million increase in tax expenses, net profit for the period decreased to EUR 4.4 million (2022: EUR 5.0 million).

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The dividend proposal of 3.60 euros per share was also adopted at ZEAL’s Annual General Meeting on May 9, 2023 in Hamburg.

Probably the most important highlight for the ZEAL Group so far in 2023 was the long-awaited granting of permission to offer virtual slot games (online games) by the Joint Gaming Authority of the Federal States (GGL). With the granting of the permit, the market leader for online lotteries in Germany enters a new market segment and achieves an important milestone for the further expansion of its business.

Another milestone for ZEAL is the company’s membership of the World Lottery Association (WLA). The WLA is a world organization of state-licensed lotteries, sports betting providers and suppliers. Admission to this circle demonstrates the online market leader’s high industry reputation and commits the company to compliance with WLA standards for social responsibility, responsible gaming, security and risk management.

For the fiscal year 2023, ZEAL still plans to expand its market leadership as an online provider of lottery products and to launch new products, including virtual slot games under the newly obtained license. In this context, the company continues to expect a billings volume in the range of EUR 800 million to EUR 830 million for the Germany segment – assuming an average jackpot development. In addition, ZEAL continues to expect revenues to be in a range of EUR 110 million to EUR 120 million in fiscal year 2023. For EBITDA, the company expects a range of EUR 30 million to EUR 35 million. The online market leader again plans to invest significantly more in new customer acquisition than in the previous year and expects marketing expenses of between EUR 34 million and EUR 39 million.

“We are pleased with the strong start of the year and are proud of the milestones achieved and the positive development of our key figures. In particular, receiving the long-awaited permission to offer virtual slot games opens up new opportunities for us to further expand our business,” Jonas Mattsson, Chief Financial Officer of ZEAL Network SE, said.

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SYNOT Games teams up with win2day to revolutionize Austria’s iGaming scene

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SYNOT Games, a leading iGaming provider, has partnered with win2day, taking a major step in its Austrian market growth strategy.

The collaboration marks its debut with the launch of Resin Joker, a fan-favorite slot that combines the simplicity of a classic gaming experience with a fresh, modern twist. With its smooth gameplay, vibrant audio-visuals, and universal appeal, Respin Joker has become a standout title for players seeking both entertainment and nostalgia.

As this partnership progresses, players can look forward to a steady rollout of additional games from SYNOT Games’ extensive portfolio, further enriching win2day’s already robust catalog. This collaboration is designed to offer Austrian players a premium gaming experience, with a diverse selection of games that blend cutting-edge innovation and top-tier quality.

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Georg Wawer, Managing Director of win2day, said: „As the sole licensed operator in Austria, our goal is to host all leading iGaming providers on our platform. Synot, being a major player on the international stage, makes us proud to feature their content. We regard SYNOT Games as a skilled and trustworthy partner for win2day, and we are confident that this collaboration will yield great success.

Martina Krajčí, CCO at SYNOT Games, commented: “We are excited to partner with win2day and bring our games to Austrian players. At SYNOT Games, our focus has always been on providing quality entertainment, and this partnership highlights our commitment to delivering an outstanding gaming experience.”

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25 years of ZEAL: A quarter century of online lottery in Germany

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  • From living room start-up to online market leader
  • Ambitious growth targets and innovative product ideas

ZEAL Network SE, the market leader for online lotteries in Germany, is celebrating its 25th anniversary. Founded in 1999 as Tipp24, the company was one of the first on the German market to bring lotteries to the internet. Since then, ZEAL has had a lasting impact on the German online lottery business. 

“We are very proud of a quarter century of ZEAL,” says Helmut Becker, CEO of ZEAL. “What began 25 years ago as a two-man start-up in Hamburg has now developed into a group of companies with more than 250 employees. We are more successful than ever in our core business of lottery brokerage and are continuously expanding our market share and our business model. In doing so, we are staying true to our motto: we define the future of lottery.”

From start-up to international group

ZEAL was founded as Tipp24 in Hamburg in 1999. The company was one of the first providers to enable participation in state lotteries in Germany via the Internet – with great success. The IPO followed in 2005. This was followed by the temporary relocation of the company headquarters to London, the change of name to ZEAL Network SE and the development of new business abroad. In 2019, the company returned to Hamburg and took over LOTTO24 AG. This made ZEAL the largest lottery broker in Germany. Today, more than 1.3 million customers play with ZEAL’s brands every month.

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“As one of the founders, I am particularly happy about ZEAL’s success story,” says Jens Schumann, co-founder of ZEAL 25 years ago and now a member of the Supervisory Board. “When we founded the company, we printed out the lottery tickets that our customers played online and handed them in at the kiosk around the corner. A lot has happened since then. Today, ZEAL is one of Germany’s leading e-commerce companies. It gives me great pleasure to have been so closely involved in its development to date.”

Continuing to grow in the core business, developing new business areas

Today, ZEAL is the market leader for online lotteries in Germany. The brokerage of participation in state and charity lotteries remains the company’s core business, which it intends to expand in the future. In addition, ZEAL is continuously developing its portfolio: in the summer, for example, the company launched the first raffle of an existing property in Germany with Traumhausverlosung (English name: Dream House Raffle). ZEAL also appeals to younger target groups in particular with the freiheit+ charity lottery. Last year, ZEAL also launched an online games offering, which has been continuously expanded since then. ZEAL also operates the online presence of the ONCE charity lottery in Spain, a public organization for the blind, and invests in industry-specific start-ups via its ventures department ZEAL Ventures.

The post 25 years of ZEAL: A quarter century of online lottery in Germany appeared first on European Gaming Industry News.

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NOVOMATIC once again honored with the “Business Superbrands Austria Award”

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The world’s largest independent brand evaluation organization, Business Superbrands Brand Council, has once again recognized NOVOMATIC as one of Austria’s strongest brands for the year 2024/2025.

The prestigious award is given to brands that have built up an outstanding image in their market segment and clearly stand out from their competitors. After a pre-selection by the credit rating service provider Bisnode D&B, an independent panel of experts decides on the awarding of the title. NOVOMATIC’s exceptional brand strength and innovative power were convincing and underlined our success on both the domestic and international markets.

Stefan Krenn, Executive Board Member of NOVOMATIC AG, accepted the award from András Wiszkidenszky, Superbrands Regional Director, and emphasized: “This award underlines our strong market position and the continuous pursuit of innovation and excellence in the international gaming industry. At the same time, it is a sign of appreciation for the extraordinary commitment of our employees, who contribute to the success of the NOVOMATIC brand every day.”

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András Wiszkidenszky added: “The Superbrand award underlines the economic appeal of the NOVOMATIC brand. Congratulations on the outstanding brand management and strong positioning that have made NOVOMATIC one of the strongest brands in Austria.”

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