Swedish gaming operator Cherry has cited ongoing investment in new growth areas of the online gaming market as the main reason behind record financial results during the three months through to September 30.
The firm posted revenue of SEK90.4 million (€9.8 million/$12.2 million) in the third quarter, up by 29% on the SEK69.9 million achieved in the corresponding period last year.
Earnings before interest, tax, depreciation and amortisation (EBITDA) improved from a loss of SEK4.4 million in Q3 of 2013 to a negative of SEK3 million this year, while earnings before interest and tax (EBIT) grew from loss of SEK9.8 million to a negative of SEK7 million.
Cherry also noted that its online gaming business improved by 33% in the period while deposits also rocketed by 55%.
The third-quarter results places Cherry’s revenue for the first three quarters of the year at SEK239.8 million, which represents an increase of 25% on the SEK191.3 million posted at the same point last year.
EBITA is up from a loss of SEK13.3 million to a negative figure of SEK11.4 million, but EBIT dropped marginally to a loss of SEK22.3 million.
Emil Sunvisson, chief executive officer of Cherry, said: “The third quarter continued strong growth in sales, and new records set across all business areas.
“Cherry’s investments in new growth areas within online gaming present great opportunities, as well as significant challenges.
“Cherry continues to grow within online gaming through our long-term commitment to build strong brands, and improve the user experience on our gaming sites.”
Sunvisson also spoke of his desire for Sweden to create a fairer gambling market and encouraged the national regulator and government to comply with European laws.
“Sweden will quite rightly be taken to the European Court of Justice after having, for too long, delayed re-regulation,” Sunvisson said.
“We look forward to a gaming market that is open for everyone with the utmost importance placed on transparency and responsibility.”
source : www.igamingbusiness.com
