Raketech Q2 profit rockets despite revenue fall
Published 23rd August 2019
Revenue for the three months until the end of June reached €5.7m, down from €6.0m the previous year, with the company citing lower player values in the Swedish market, as well as a shift in revenue streams that saw the contribution from cost per acquisition deals fall by 9.2% to €4.5m.
However, new depositing customer numbers increased by 21.7% to 24,974, with operating profit rocketing by 29.3% to €2m.
Finance costs fell from €1.3m to €209,000 and despite increased income tax, net profit for Q2 spiked year-on-year from €179,000 to €1.7m.
In the first six months of the year, revenue increased by 31.7% to €14.4m, with operating profit standing at €7.1m - almost double the figure in the corresponding period last year.
Raketech chief executive Michael Holmberg said: “We are constantly looking for new ways to use our expertise and optimise existing products in order to scale our portfolio, as well as to expand to new markets.
“We are actively looking for acquisition opportunities, and as a debt-free company we are well-positioned to acquire assets that would strengthen our operations.
“We are selective, but we continuously meet with interesting acquisitions targets.
“We focus on driving traffic to the larger well-established operators, with whom we have strong and successful relationships.
“Through our scalable business model, we continue to focus on profitability going forward, in combination with the before-mentioned geographical expansion and selective acquisition strategy. I look confidently towards our future and strongly believe in our long-term strategy.”