Swedish gaming company, Cherryföretagen announced its Quarter 3, 2011 and nine-month interim report this week showing strong results in customer growth and the online gaming sector of its business.
Key Group Performance Indicators for the nine month period ending September 30, 2011 include:
Key Group Performance Indicators for the Third quarter period ending September 30, 2011 include:
The Group’s online arm that includes PlayCherry.com, SverigeAutomaten.com, NorgesAutomaten.com, DanmarksAutomaten.com and EuroLotto.com showed a strong Third quarter performance with key indicators including:
Cherry Malta’s extensive marketing efforts for EuroLotto and the other gaming sites has had a negative short-term effect on the profit. The launch of EuroLotto burdened the interim net profit sharply, however Cherry’s core products; SverigeAutomaten, NorgesAutomaten and DanmarksAutomaten delivered stable results.
Key Business movements to date include:
Cherry is contesting a Norwegian Gaming and Foundation Authority injunction demanding that Cherry cease with its marketing efforts and availability of the Euro Lotto to Norwegian players. The Norwegian authority intends pursuing the matter through Lottetrinemnda (the lottery board).
Chief executive officer, Emil Sunvisson comments on the results:
“The third quarter has brought satisfactory growth in the segment of Online Gaming but at the same time the results was burdened by the costs of launching new products. EuroLotto remains in an expansionary phase with good growth of customers. The launch of EuroLotto has been costly and has had a negative affect on the Group results in 2011.”