Swedish gambling company LeoVegas Group released its fourth-quarter and full-year 2021 results on Friday.
LeoVegas Posts Q4 2021 Financial Results
LeoVegas Group, the leading casino and sports gaming technology operator, released its fourth-quarter and full-year results for 2021. Last year, the company has seen revenue of €391 million ($446 million). This represents an increase of only 1% when compared to the €387 million ($441 million) in revenue reported during 2020.
The revenue during Q4 2021 hit €98 million ($112 million). For the same period during 2020, the revenue halted once again at €98 million. On the other hand, EBITDA during the fourth quarter in 2021 hit €11.6 million ($13.2). This marked an increase of 45% when compared to €8 million ($9.1 million) EBITDA in Q4 2020.
However, it is important to mention that those results were affected by the regulatory changes in Germany and the Netherlands that impacted LeoVegas’ operations. Excluding those two markets from the fourth quarter results shows that the company has seen 26% growth.
The Company Enjoys Strong End of the Year
Gustaf Hagman, LeoVegas’ CEO, commented by saying that he is proud of how the company concluded 2021. Moreover, he acknowledged that LeoVegas was able to “offset the revenue loss related to the ongoing regulatory changes in Germany and the Netherlands.” Hagman pointed out that excluding those markets shows that the company grew by 26%, which reaffirms strong underlying growth.
“Strong end to the year with many growth initiatives.”
Gustaf Hagman, CEO at LeoVegas Group
He explained that while the company is waiting for a license in the Netherlands, which was one of its most profitable markets, adjusted EBITDA still “improved somewhat year-on-year.” However, during the fourth quarter, the company paid more gaming taxes than ever before. Despite those difficulties, Hagman said that the company has seen improved profit thanks to higher marketing efficiency combined with good cost control.
LeoVegas Remains Optimistic for 2022
Hagman explained that during 2021, LeoVegas has taken multiple steps that are expected to bring significant growth. One such step was the acquisition of the brand Expekt, which proved to be a major success. According to him, since the brand acquisition, sales have increased nearly four times.
“Armed with all of our ongoing growth initiatives, I feel optimistic ahead of 2022.”
Gustaf Hagman, CEO at LeoVegas Group
Additionally, Hagman outlined that LeoVegas plans to further expand into new markets. He pointed out that the company has already initiated its US entry, where the market is expected to grow significantly in the upcoming years. Considering the strategic focus for growth, Hagman said that LeoVegas remains optimistic for 2022.