Betsson AB, a popular provider of various online gambling products, posted information about its financial performance during 2014. It seems that the company’s revenue rose 23% due to a double-digit increase in both its business-to-consumer and business-to-business divisions.
According to the posted results, turnover for the last quarter of 2014 grew by 24% to reach SEK814.7 million. The overall revenue for the past twelve months amounted to SEK3.04 billion.
It was reported that the company’s financial performance was enhanced by the acquisition of both Oranje and Kroon, which took place back in February 2014. The two platforms contributed SEK89.9 million to the overall revenue.
Betsson’s gross profit totaled SEK680 million for the fourth quarter of 2014. The company’s business-to-consumer division constituted 75% of this figure. As for its flagship casino, it generated gross profit of SEK468.3 million, a 29% rise as compared to what was reported in the fourth quarter of 2013.
Sportsbook gross profit for the period in question marked a 24% increase to reach SEK180.9 million. Of these, the amount of SEK96 million was contributed by the company’s business-to-business division.
Business-to-consumer sportsbook margin was moderate, about 6.1%. This was attributed to the consumer-friendly results in December. Furthermore, a 24% rise in revenue was posted.
However, Betsson’s profits from poker continued to fall in the fourth quarter of 2014. The total amount of SEK20 million was generated. By comparison, the company posted gross profit of SEK25 million during the fourth quarter of 2013.
Last year, Betsson increased its investment in products for mobile devices. This led to a 23% rise in revenues from these devices. What is more, 43% of the company’s sportsbook bets were placed via mobile phones and tablets.
It was announced that Betsson managed to complete the integration of NordicBet into its proprietary, the so-called Techsson platform, in the three-month period ended December 31. The company reported that a total of 75% of its revenues are now coming from the platform in question and this figure is expected to increase in 2015.
Magnus Silfverberg, chief executive officer of Betsson, said that the company managed to follow its strategy during the fourth quarter of 2014. Moreover, it scored all-time highs for almost all of its key performance indicators.
Mr. Silfverberg also pointed out that Betsson is prepared for new regulations that might be introduced in major gaming markets. Furthermore, it will continue to develop further its mobile solutions as well as the rest of its products.
