NetEnt has reported that it has “not been negatively affected” in terms of business performance by the Covid-19 outbreak and that it expects online gaming to continue to offer growth opportunities.
The group, which restructured following the acquisition of Red Tiger last year, reported revenues of SEK518m (£40.98m) for the first quarter of 2020, up from SEK418m year-on-year. Adjusted for restructuring costs, EBITDA was SEK254m (SEK196m), corresponding to a margin of 49.1 per cent (47 per cent).
During the first quarter, CFO Lars Johansson left NetEnt at his own request and the company presented new initiatives in live casino while also releasing 12 new slot games – six each from NetEnt and Red Tiger.
NetEnt’s group CEO Therese Hillman said: “To further strengthen competitiveness and increase efficiency, we initiated a full integration with Red Tiger during the quarter. Red Tiger keeps performing above our expectations with its award-winning games and the expansion to new markets continues.
"Combined with a strong product pipeline, new regulated market entries and the live casino opportunity for NetEnt, this puts us in a good position to continue delivering profitable growth in 2020.
“The pandemic outbreak of Covid-19 has put the world in an exceptional situation, leaving nobody unaffected. The health and safety of our employees has the highest priority in the NetEnt Group, while we continue to work hard to secure a good development for the company both in the shorter and longer term.
"It is difficult to predict the effects of the Covid 19-situation on the economy in general and our sector in particular, but we believe that the underlying trend of digitalisation in gaming will continue and offer growth opportunities for NetEnt in the future. So far, the financial performance of our business has not been negatively affected by the outbreak of Covid-19.”
