Yggdrasil Q3 revenue and EBITDA more than doubles

Cherry Group subsidiary and online gambling games developer Yggdrasil has released its detailed Q3-2017 results, showcasing continued growth and strong financials.

Highlights of the report include:

* Revenues up 110 percent year-on-year at SEK 44.1 million (Q3 2016: 21 million);

* EBITDA up at SEK 18.7 million (SEK 9.2 million) on margin of 42 percent;

* EBIT for the period increased to SEK 15.3 million (5.8);

* Number of player transactions up 132.6 percent year-on-year to 1,019 million;

* Contribution from mobile gaming has now grown to 59 percent of total gross game win:

* 10 new licence agreements, including Betfred and SkillOnNet;

* Three new games were released in the quarter: Rainbow Ryan, Valley of the Gods and Jungle Books;

* Four games went live in the UK and Gibraltar;

* Yggdrasil’s largest ever jackpot of Euro 5.2 million fell on the Empire Fortune progressive jackpot slot;

Notable events after the quarter included:

* Entered Danish market with Jackpotjoy Group deal;

* Yggdrasil games went live with another operator, Gaming Realms;

* Signed a commercial agreement with Pinnacle;

* A Euro 3.5 million jackpot paid out on Joker Millions;

* Released new game Pumpkin Smash;

* Three games, including Vikings Go Berzerk, released in Italy; one game went live in the UK and Gibraltar.

CEO Fredrik Elmqvist, reported:

“Once again, we have delivered an all-time high result, with EBITDA for the period hitting MSEK 18.7. This growth has been driven by an increase in traffic to our games. During the third quarter the number of rounds has increased by 132.6 percent versus last year, while we have also added 10 new licensees, including Betfred.

“Our focus remains on laying solid foundations to ensure we can continue our growth trajectory off the back of these extremely strong results. Recruitment has also stayed at the top of the agenda during the quarter. Across the business we recruited or contracted 27 people during Q3, taking the Yggdrasil team to 170 by the end of September. I am looking forward to welcoming more over the coming months.

“Due to our growing workforce, we have secured additional office space in Krakow and in Malta, are looking to move to a bigger space in Gibraltar, and have a new office operational in Stockholm.

“Expansion has been achieved in a cost-efficient manner. As is natural for a fast-growing company, costs will continue to grow, but we remain focused to ensure additional spend helps spur further growth.”

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