NetEnt Acquisition Doubles Profits at Evolution
Evolution (STO: EVO), the leading live dealer supplier, has announced that its operating revenue and profit has more than doubled in the first half of the 2021 financial year, mainly due to its acquisition of NetEnt towards the end of 2020, which has given it a much large portfolio of games and services.
The company’s revenue for the six months through to 30 June reached €492.5 million, up 102.3% from the same period last year.
Live dealer games brought in €387.4 million in revenue in this period, up 59.1% on last year, while revenue from RNG games was €105.2 million. Last year, Evolution did not have any revenues from RNG games.
The company’s operating expenses for six months were €195 million, up 59.7%. However, the increase in revenue meant that earnings before interest, tax, depreciation, and amortization (EBITDA) was up 130.4% at €334.8 million. Operating profit was up 126.6% to €297.5 million, and profit before tax was up 124.1% year-on-year to €293.8 million. After tax, the overall profit was €276.4 million, up 121.8%.
Our products are global, and our long-term ambition is to be the global market leader. We want to reshape the online casino market in the world. It is that simple. The expansion potential lies in both existing geographies and in new markets. It is a very active time within the company right now.
Carlesund went on to say that the company is reshaping its RNG roadmap. He pointed out that revenues in the RNG business increased slightly from the first quarter this year but were down 2% compared to the second quarter of last year. However, he expects to see year-on-year RNG growth improve in the coming quarters.
The second quarter also saw Evolution complete the acquisition of Big Time Gaming and form a partnership with Scientific Games to bring Lightning Roulette to land-based casinos. As such, Carlesund said, “I very much look forward to the second half of the year and to continue to widen the gap to competitors.”