Interwetten delivers despite a tough year

Malta-based online gaming firm Interwetten has reported a 7 percent increase in revenue despite serious external challenges.

The company said the 5 percent sportsbetting tax on turnover imposed by Germany, regulatory constraints in Spain, the forced market exit in Greece as well as a lack of a major event in sports had a serious effect on Interwetten’s business but that the company had still delivered a strong performance.

Key performance indicators for the year ending December 31, 2013 include:

–   Euro 700 million turnover from bets.
–   Revenue increase of 7 percent from Euro 36.7 million to Euro 39.3 million.
–   EBITDA margin of 15 percent.

Interwetten’s success has been attributed to a 10 percent increase in active customers and the popularity of its mobile platform. 40 percent of Interwetten’s total turnover for sportsbetting was achieved through mobile distribution channels in 2013.

Moving forward, Interwetten said it expects to continue profiting from its investment in extending its live betting offer, the optimisation of CRM processes and VIP programmes, the revamp and relaunch of interwetten.com and iwcasino.com and the addition of new smartphone and tablet apps with improved functionality across mobile platforms Apple iOS, Android and Windows.

“Of course, management and all members of the team are very happy about the recognition voiced by the shareholders and the board with respect to our fantastic annual results. As a matter of fact, key data proves that we leave competition behind thanks to everybody’s clear focus on our strategy with precisely defined targets and milestones”, said Werner Becher, chief executive officer of Interwetten Group.

“No wasting of resources in order to acquire market shares at all costs, the adjustment of our product strategy to the requirements of high-value customers, and no adventures into social gaming and other areas where we will inevitably burn our cash… these principles will direct Interwetten even in the future.”

Interwetten forecasts an EBITDA margin of 16 percent and a net-income margin of at least 12 percent for 2014.