Positive outlook for NetEnt in Q1 Interim report
Published on by Adam
Our favourite games developer is on a roll this year, with excellent results in the first quarter and a highly optimistic outlook for the rest of 2017. Higher profits, launches in new markets and a strengthening of existing products characterized Q1 at NetEnt.
The data for this quarter are promising but then again, we would expect nothing less from NetEnt. In the first quarter alone, revenues saw a 15.2% increase, reaching SEK 398 million (that’s about €41.3 million). Operating profit also experienced an uptick – a 6.3% increase, amounting to SEK 136 million. Post-tax profit was SEK 124 million, an increase of 1.8%.
In the first three months of this year, NetEnt signed a whopping 15 new customer agreements and saw 6 brand-new customer casinos launched. Through Codere, NetEnt launched games on the Mexican regulated market and announced the development of its very first Virtual Reality game! NetEnt also announced the future release of two branded games, coming this year – Planet of the Apes and Emojis®.
Live casino enthusiasts who love to play on mobile will welcome this next bit of news. NetEnt has strengthened its live casino product with the launch of Common Draw Black Jack for mobile.
NetEnt welcomes legislative changes
In March, Sweden’s gaming commission presented a proposal to overhaul legislation in the country. NetEnt has welcomed the proposal, considering it both commercially viable and a substantial tax income for the government. A modern legislative framework will benefit the industry as well as the players.
NetEnt intends to apply for a B2B-license as an industry supplier under the new legal framework, further supporting its position as a gaming supplier to several regulated markets.
A word from the CEO
NetEnt CEO and President Per Eriksson reported that the company has continued to deliver with regards to its growth strategy, and revenue increases with in line with Q1 projections.
He also expressed optimism about the rest of the year, saying, “For the rest of 2017, we see conditions for continued solid growth supported by new games, increasing market shares in the UK, mobile growth, many new customers to be launched and our ongoing expansion in North America.”
We take this to mean that NetEnt will continue to give us quality games, available to players in an increasing number of countries and keeping its reputation as an innovator and creative force within the industry.