Gaming, media and solutions group Enlabs reported its “best quarter yet” in posting its Q4 2019 results, with casino and activity in Lithuania making up for a lower-than-expected sports betting margin.
The Nasdaq First North-listed company recorded revenues totalling €11.2m for the fourth quarter up 11 per cent on Q3 2019, with EBITDA standing at €3.17m (Q4 2018: €2.88m) and an EBITDA margin of 28.4 per cent (32.2 per cent). Adjusted net profit stood at €2.85m (€2.47m).
For the full year 2019, revenues stood at €39.6m (2018: €30.6m), a 29 per cent increase, with EBITDA €11.58m (€9.27m), EBITDA margin 29.2 per cent (30.3 per cent) and adjusted net profit €10.11m (€7.48m).
“This quarter revenues grew 11 per cent over the previous quarter, so our strong momentum has continued,” said Enlabs CEO and group president Robert Andersson.
“This was primarily driven by our casino vertical, and we are very happy to see Lithuania contributing well to total growth. The sports betting margin was lower than expected, but this seems to be a wider industry issue this quarter, though we can’t make that an excuse. It is our responsibility to ensure our margins, and we plan to improve these margins significantly in Q1.
“Media revenue came in below expectations and caused us to revise our strategy. Gaming is once again leading the way and underlying KPIs there are trending in the right direction.
“Considering the circumstances with a tough market climate for media and lower betting margin than anticipated, I am satisfied with these results, even though I expected a lot more after a great October.”
