Connect with us
Prague Gaming & TECH Summit 2025 (25-26 March)

Industry News

Net Gaming carries out restructuring and issues forecast for Q2 2020

Published

on

Reading Time: 3 minutes

 

Net Gaming’s operations have performed well during Q2, showing both organic growth and improved underlying profitability in adjusted EBITDA. The Company is in an intensive transformation phase, after Robert Andersson took over as CEO, which means that a reorganisation has been initiated. The reorganisation, which is aimed at creating better conditions for future growth, means that the second quarter has been affected by non-recurring costs.

The reorganisation of the business and transformation to Acroud AB have begun during Q2. The reorganisation involves, among other things, closing the Swedish office and centralising the business to Malta, in order to create a more efficient and cost-effective organisation. The reorganisation will bring annual savings of EUR 0.3m, with full effect from Q3. The reorganisation will give rise to non-recurring costs of EUR 0.5m during Q2 2020, charged to operating profit (EBITDA). The Company has also decided to recognise an impairment loss of EUR 0.5m on assets related to the PokerLoco brand, which will not be included in the new growth strategy adopted in 2020, focusing on fewer products. In parallel, refinancing of the business has been successfully secured in Q2, also resulting in non-recurring costs of approximately EUR 0.3m related to a consent fee, charged to net financial items. Net financial items have also been adversely affected by EUR/SEK exchange rate fluctuations of approximately EUR 1.2m in the first two months of the quarter, as the bond loan is denominated in SEK. The Company’s reported profit after tax for Q2 has been negatively affected by the above factors.

“The underlying operations have shown positive development during Q2, with sequential organic growth of 14%, but also compared with the previous year. It should be noted that a large proportion of the items having a negative impact on Q2 earnings are non-cash items and of an accounting nature. The offensive initiatives and the reorganisation we are now implementing create the conditions for future growth and a brand new Acroud AB that will stand stronger in the future. With Sports betting on the doorstep and a company that is now optimised for the future, we feel strong as we embark on the growth journey we have begun. As proposed to the AGM, we also hope to be able to change our track to the new Acroud AB, which will be a new milestone,” says CEO Robert Andersson.

Advertisement
European Gaming Congress 2024 (Warsaw, Poland)

Forecast Q2 2020

Revenue is expected to amount to EUR 3.6m in Q2 2020, 14 percent higher than in Q1 2020 and 4 percent higher than in Q2 2019.
Adjusted EBITDA (adjusted for non-recurring costs related to reorganisation and rebranding) is expected to amount to EUR 2.1m, 21 percent higher than in Q1 2020 and 4 percent higher than in Q2 2019. The adjusted EBITDA margin for Q2 2020 is expected to be 58 percent.
Reported EBITDA is expected to amount to EUR 1.6m, 10 percent lower than in Q1 2020 and 23 percent lower than in Q2 2019. The EBITDA margin for Q2 2020 is expected to be 43 percent
Reported profit after tax is expected to amount to EUR -1.2m, compared with EUR 2.8m in Q1 2020 and EUR 1.2m in Q2 2019, which was adversely affected by the above-mentioned non-recurring costs and exchange rate fluctuations related to the loan financing. Adjusted for non-recurring costs and exchange rate fluctuations, Adjusted profit after tax for Q2 2020 amounts to EUR 1.4m.
At 30 June 2020, the cash position is estimated at EUR 3.0-3.2m. The Company’s interest-bearing net debt is expected to be EUR 21.5m, corresponding to a debt/equity ratio, defined as net debt/EBITDA, of 3.0x, based on estimated LTM EBITDA at 30 June 2020.
Robert Andersson, President and CEO

All figures are unaudited and based on management accounts. The next financial update is scheduled to take place in connection with this year’s Q2 report on 13 August 2020.

About Net Gaming:
Net Gaming owns, operates and develops high-quality comparison sites, mainly in iGaming affiliation, for the purpose of helping our partners by channelling high-quality users to the Company’s customers – primarily iGaming operators. Through the sites, Net Gaming generates high-quality users, primarily to global iGaming operators. The Company, which was founded in 2003, has just over 70 employees and is headquartered in Malta.

Advertisement
European Gaming Congress 2024 (Warsaw, Poland)
Continue Reading
Advertisement

Industry News

Dutch Mental Health Care Calls for Total Ban on Online Gambling Advertising

Published

on

dutch-mental-health-care-calls-for-total-ban-on-online-gambling-advertising
Reading Time: < 1 minute

 

The Dutch mental health service is calling for a total ban on online gambling advertisements in the Netherlands.

Although a ban on untargeted gambling advertisements and a ban on the use of role models has been in effect since 2023, a recent research by KRO-NCRV’s Pointer shows that (illegal) gambling companies and sports tipster platforms are still enticing young people via social media such as TikTok and Snapchat.

By using influencers and terms like “free money”, they try to attract a young audience and thus lower the threshold to start gambling. This concerns both legal online casinos and online casinos that do not have a license in the Netherlands. The Gaming Authority has started an investigation based on Pointer’s findings.

Advertisement
European Gaming Congress 2024 (Warsaw, Poland)

Pointer’s research shows that part of the gambling industry deliberately targets young people who are often susceptible to promises such as “fast money” and the influence of role models. Ruth Peetoom, chair of the Dutch mental health service, compares this approach to that of the tobacco industry, where similar marketing strategies were used to get young people to smoke.

Despite the existing advertising ban, gambling companies continue to explore the boundaries of the law, according to Peetoom. The Dutch mental health and addiction care associations in the Netherlands therefore push for a total ban on online gambling advertising and stricter rules for the duty of care of gambling providers.

With the call for a total ban, the Dutch mental health care sector hopes to prevent further normalisation of gambling behaviour among young people and to protect them from the temptation and consequences of online gambling.

The post Dutch Mental Health Care Calls for Total Ban on Online Gambling Advertising appeared first on European Gaming Industry News.

Advertisement
European Gaming Congress 2024 (Warsaw, Poland)
Continue Reading

Industry News

Petra Maria Poola Joins Xace as Group Commercial Director

Published

on

petra-maria-poola-joins-xace-as-group-commercial-director
Reading Time: < 1 minute

 

Xace has announced that Petra Maria Poola has joined the company as Group Commercial Director.

Petra brings a wealth of experience from the iGaming industry having formerly held roles at several iGaming companies such as Yolo, Relax Gaming and SiGMA. She will lead the commercial growth of Xace and its group companies, including crypto and iGaming focused xda.io, helping to drive strategic initiatives across banking, fintech and iGaming solutions.

In her new role, she will mainly oversee the growth of the group’s sales, marketing and account management functions, ensuring a cohesive strategy that supports Xace’s ambitious expansion plans.

Advertisement
European Gaming Congress 2024 (Warsaw, Poland)

“I am incredibly excited to start this new chapter with Xace, and work alongside such a talented team and management. Transitioning into the fintech space, while still connected to iGaming, presents an exciting opportunity for growth and learning. I’m looking forward to applying my expertise to help Xace and its group companies achieve new heights commercially, while gaining deeper insights into the fast-evolving world of fintech,” said Petra Maria Poola.

Reuben Abel, CEO of Xace, said: “Petra’s extensive background in the iGaming sector, combined with her commercial acumen, makes her a valuable addition to the Xace team. She will play a crucial role in expanding Xace’s market presence and enhancing its suite of services tailored to the specific needs of the iGaming and fintech industries.”

The post Petra Maria Poola Joins Xace as Group Commercial Director appeared first on European Gaming Industry News.

Continue Reading

Industry News

JohnSlots Announces its Mission to Review the Latest Popiplay Slot Games

Published

on

johnslots-announces-its-mission-to-review-the-latest-popiplay-slot-games
Reading Time: 3 minutes

 

JohnSlots and Popiplay are both on an upwards trajectory-two brands that have had a significant impact on the iGaming sector in their own ways. And now they’re coming together, as JohnSlots has just announced that it will review 40 Popiplay slots over the next year, covering the developer’s latest games and discussing their pros and cons for the studio’s growing audience of eager players.

Who are Popiplay and JohnSlots?

JohnSlots launched back in 2013 and quickly established itself as a trusted source for casino and slot reviews. It adopted a unique approach from the outset, hiring experienced writers and instructing them to follow a meticulous 15-point rating process that accounts for aspects such as:

Advertisement
European Gaming Congress 2024 (Warsaw, Poland)

• Gaming metrics—including the game’s RTP, payout frequency and maximum payout

• Gameplay—the enjoyability of the game and how easy it is to play

• Features—free spins, bonus rounds, jackpots, payline mechanics and other notable features

• Experience—how the game’s rules, features and paytable correspond to the actual gameplay experience

Every review is honest, and each one takes the writer about 16 hours to complete. Only when they are properly acquainted with the game will the writer start the review and provide their rating.

Advertisement
European Gaming Congress 2024 (Warsaw, Poland)

Popiplay & JohnSlots: What it Means

For JohnSlots, this partnership will provide its review team with 40 different titles, all released steadily throughout the next year. Some of these games have already been featured on the site, while others are in the works and undergoing that extensive review process, including September and October 2024 releases like Cultist, Baba Jam, Bubbles and Maxzilla.

Popiplay could also benefit, as it means the developer’s slots will be covered by one of the most experienced review teams in the sector. They will be subject to strict scrutiny, but if they emerge with positive ratings, it puts more eyes on those new releases.

Popiplay launched as recently as 2022, so it has only had a couple of years to make an impact. It has released a lot of slots in that time and is already making a name for itself, but a series of positive reviews could be a shot in the arm for this Scandinavian studio.

Its expanding portfolio already features at many online casinos, and as more operators and aggregators stand up and take notice, that number will increase. Collaborations like this one could help the studio’s reputation.

Advertisement
European Gaming Congress 2024 (Warsaw, Poland)

What it Means for Players

Online casino gamers are the ones who will benefit the most from this partnership:

• Honest and Transparent Reviews: There is no shortage of slot reviews out there, but JohnSlots adopts a different approach to the usual brief summaries. Every review is detailed and extensive, with a 15-point system that accounts for all important metrics and features.

• Free-Play Games: There are over 1500 slot reviews on the JohnSlots platform, and 98% of these host a demo game. The same will be true for most of the Popiplay titles that its team reviews, giving players a chance to spin them risk-free and make up their own minds.

• News on the Latest Popiplay Titles: Popiplay already has a substantial following, and those fans can read reviews of the latest slots shortly after their release. Despite spending over 16 hours on each review, the JohnSlots team works quickly and gets these reviews out while there is still plenty of buzz around the slot.

Advertisement
European Gaming Congress 2024 (Warsaw, Poland)

• A Cherry-Picked Selection: There are dozens of developers releasing hundreds of slots every year and giving players a seemingly endless selection. It can be overwhelming, but JohnSlots aims to narrow those releases down, highlighting the very best and showing players what makes them so special. It means that gamers can skip the filler and focus on the games that are actually worth playing.

The post JohnSlots Announces its Mission to Review the Latest Popiplay Slot Games appeared first on European Gaming Industry News.

Continue Reading

Trending