Evolution gaming doubles revenues as new RNG optimisation roadmap begins
Evolution Gaming reports a period of high activity, as its gaming business continues to benefit from an expanded product catalogue and games selection.
The Stockholm Nasdaq games studio has attributed a ‘very strong global demand’ for live casino offerings as the primary factor behind its Q3 growth, which has seen its total operating revenues increase by 97% to €276 million (2020: €140m).
The group’s revenue increase was accompanied by a 113% growth in EBITDA to €192.9 million (2020: €90.7m), with a margin of 69.9% (2020: 64.8%), whilst total profits stood at €276 million (2020: €79.4m).
A breakdown of unit performance saw Evolution’s flagship live gaming division achieve period revenues of €214 million up 53% on corresponding 2020’s results of €140 million. Headline growth was further buoyed by Evolution’s newly integrated RNG unit registering period revenues of €61.5.
New asset Big Time Gaming enjoyed success during the quarter after being fully consolidated into the group’s operations, with the firm attributing €10.6 million of RNG revenues to the new brand, along with NetEnt.
Consequently, NetEnt and Red Tiger experienced growth of 3% compared to the corresponding quarter in 2020, with the firm underscoring its aim to secure strong growth from the firms moving forward into 2022.
Year-to-date revenue (January to September 2021) stood at €768.5 million (2020: €383.5m), an increase of 100%, whilst EBITA rose by 127% to €527.7 million (2020: €236m) and total profits reached €433.9 million (2020: €204m).
Regionally, Evolution highlighted its growth in North America, having successfully launched in US jurisdictions such as Michigan and Connecticut as well as the newly regulated Canadian province of Ontario, whilst in Europe the Netherlands has been underscored as a strong market.
Despite the company’s North American expansion, Europe remains its largest market, with Rest of Europe accounting for €103.2 million of its €276 million Q3 total operating revenue, and the UK and Nordics contributing a further €19.1 million and €16.4 million respectively.
This is followed by Asia at €76.7 million and North America at 31.9 million, whilst other markets contributed €25.6 million. Although still one of the group’s smaller markets in comparison to Europe, however, the firm’s North American operations have grown significantly from the Q3 2020 revenue of €9.2 million
“The expansion of our business at the current speed is simply put – hard work – and I want to start these comments by thanking everyone in Evolution for great work during this period, without your effort and commitment the achieved financial results would not be possible,” said Martin Carlesund, Evolution CEO.
“We are in the process of reshaping our RNG business. This year we have both re-structured the product roadmap and also re-built the complete technical platform for NetEnt.”
“The aim with all our offerings is to excite and entertain players with the best possible choice of world-class gaming. We are committed to creating the most immersive and exciting gaming experiences available.”