BUSINESS

Evolution Gaming profit soars on increased demand for live dealer casino

TAGs: Evolution Gaming, Live dealer, Scientific Games

evoluton-gaming-live-dealer-casino-profitsLive dealer online casino technology providers Evolution Gaming capped off a banner year by nearly doubling its profit in the final quarter.

On Tuesday, Evolution released its Q4 and FY15 results, which showed Q4 revenue rising 62% to €22.4m while profit surged 81% to €7.5m. The company said most of the gains came from expanded business with existing customers, who are increasingly looking to launch customized live dealer casino environments.

For 2015 as a whole, Evolution’s revenue was up 55% to €75.2m while adjusted operating profit soared nearly 82% to €25.1m as margins gained five points to 33%.

Mobile was a key driver of growth, with Q4 mobile revenue rising one-third from Q3, now accounting for 32% of operators’ overall live dealer revenue.

Evolution’s operating expenses were also up sharply as the company’s payroll swelled to 1,922 employees as of Dec. 31, up from 1,278 at the end of 2014. This month saw Evolution complete the acquisition of the building that houses its Riga live dealer studios, a deal the company felt necessary to ensure it had sufficient room for further expansion.

Evolution says it expects great things in the future from deals with land-based casino operators looking to establish a presence online. Building on the success it has had with customers such as Genting, Casino Campione and Casino Dragonara, Evolution recently launched its Live Roulette product for Casino Barcelona.

Since the new year began, Evolution has bolstered its client roster via an exclusive multi-year deal to provide Texas Hold’em Deal for Scientific Games, with the launch expected for sometime this summer.

Evolution recently announced a couple of senior exec hires, including former Gavagai CEO David Craelius as new Chief Technology Officer and former NetEnt HR director Maria Furenmo as Chief People Officer.

Evolution has decided to apply for a listing on the main Nasdaq Stockholm exchange this year, although CEO Jens von Bahr qualified that the precise timing will depend on management’s read of the markets. Evolution listed on the Nasdaq Stockholm First North Premier market last March.

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