Mobile gaming operator LeoVegas experienced an increase in revenues in Q3.
The popular mobile casino games provider reported an increase in revenue of €39.7m, a 76% gain that covers the same period in the previous year. LeoVegas reduced its marketing-to-revenue ratio from 53% to 36% which results to an earnings growth of €9.8m from €1.1m in Q3 2015.
Live Casino Options Boost Profits for LeoVegas
LeoVegas’ latest Kambi Sports Solution-powered sportsbook has been instrumental in increasing revenues for the mobile gambling operator. LeoVegas Chief Executive Gustaf Hagman also credited its enhanced Live Casino features which gave the company momentum on Q3. These products resulted to an overall new customer revenues increase by 78% annually.
LeoVegas’ Hagman is adamant to develop a more comprehensive and improve sportsbook. The LeoVegas CEO says they are focusing in creating the most user-friendly sportsbook mobile app in the world. The company’s revenue growth in both casino and sports areas have yet to be seen.
LeoVegas still sees Nordic markets as its cash cow with 59% covering for Q3 revenue. UK accounted for 13.2%, other European markets covered 13.6, and international markets claimed 15.2% share. LeoVegas recently received an online gambling license in Denmark. It aims to establish a competitive team in the market.
LeoVegas Gains Momentum for Q4
Customer deposit growth soared in European markets. It saw a 329% in total figures. International markets saw a decent 244% growth which was better than the Nordic and UK markets. Customer mobile deposits covered two-thirds of the period’s total deposits.
LeoVegas is off to a great start in Q4. Revenues sustain a 63% year-on-year and December is historically the quarter’s strongest month. Mr.Hagman says that the sequential growth of returning customers in Q3 was 22% which was the highest level in the previous year. The LeoVegas CEO thinks that the marketing budget will increase in Q4 but will bring significant returns.