STOCKHOLM, Feb. 19, 2020 /PRNewswire/ -- FOURTH QUARTER 2019
- Revenues totalled EUR 5.8 million (EUR 7.6 million) representing a decrease of 23.3%.
- NDCs (New Depositing Customers) amounted to 28,002 (35,948).
- Adjusted EBITDA amounted to EUR 2.0 million (EUR 4.5 million), corresponding to a margin of 33.6% (59.3%).
- Adjusted operating profit amounted to EUR 0.3 million (EUR 3.8 million).
- Earnings for the period amounted to EUR -0.3 million (profit EUR 1.7 million).
- Revenues totalled EUR 23.9 million (EUR 25.6 million) representing a decrease of 6.5%.
- NDCs amounted to 108,365 (99,599).
- Adjusted EBITDA amounted to EUR 11.0 million (EUR 14.4 million), corresponding to a margin of 46.0% (56.3%).
- Adjusted operating profit amounted to EUR 6.5 million (EUR 12.7 million).
- Earnings for the period amounted to EUR 7.2 million (EUR 4.6 million).
CEO OSKAR MÜHLBACH COMMENTS ON THE QUARTER
"Looking back at 2019 it can easily be described as an eventful and challenging time. Not only for Raketech but also for the affiliation industry and the iGaming sector as a whole.
The Swedish gaming market has been particularly tough which with Raketech's heavy Swedish presence added to our challenge. On a positive note, 2019 was also a year where we made good progress in strengthening our product mix, expanding our geographical footprint as well as our operational capacity. This was achieved through strategic acquisitions, a series of key recruitments and relentless efforts within process improvements to ensure we are ready to grow and scale efficiently. We were also able to, for the first time in the company's history, reach over 100 000 NDCs in a full year.
STRONG REVENUE FINISH AND EXCEPTIONAL EVENTS
We experienced a slow start of the fourth quarter, which was both disappointing and somewhat surprising as it is normally seasonally strong. Especially since our product portfolio showed stable operational performance with increased NDC intake of 5 percent compared to the previous quarter.
Our response to the slow start was to launch a series of targeted paid media efforts, granular site audits, individually tailored operator campaigns, improvements to our top list algorithms and more. This, in combination with a slight general market upswing resulted in a confident finish landing the quarter as a whole just slightly lower than the previous quarter. Revenues in the fourth quarter amounted to EUR 5.8 million, representing a decrease of 23.3 percent compared to the corresponding period last year and 1.8 percent lower compared to previous quarter. Adjusted EBITDA amounted to EUR 2.0 million with a margin of 33.6 percent.
One of the first decisions I took as new CEO was to carefully review our current financials. This highlighted a few exceptional cost items, which in combination with the severance pay to the former CEO resulted in an operating loss of EUR 0.1 million. This is in line with what was announced in early January of this year.
With regards to our revenue development in 2020, January revenues amounted to EUR 2.0 million."
PRESENTATION FOR INVESTORS, ANALYSTS AND THE MEDIA
CEO Oskar Mühlbach and CFO Måns Svalborn will present the report and answer questions in an audiocast at 9.00 a.m. CET on 19 February. The presentation will be held in English and can be followed online via https://tv.streamfabriken.com/raketech-q4-2019. To participate by phone, please dial +46 8 5055 8358 (SE) or +44 3333 009 035 (UK).
The report is attached to this press release and also available at https://raketech.com/investor/
This information is such that Raketech Group Holding P.L.C. is required to publish under the EU Market Abuse Regulation. The information was submitted under the auspices of the CEO for publication at 8.00 a.m. CET on 19 February 2020.
About Raketech Group
Raketech is a leading online affiliate and content marketing company, with expertise in delivering comparison services for sports and gaming, online guides, communities and social media products. Raketech guides sports and gaming enthusiasts to the best possible services, while also delivering high-quality traffic and leads to its partners. Raketech grows both organically and via acquisitions and operates its business in accordance with a clear framework for responsible affiliate marketing services. The company's shares are listed in Nasdaq First North Premier Growth Market with ticker RAKE. Erik Penser Bank AB is the company's Certified Adviser: +46 8 4638300 / email@example.com. For more information, visit www.raketech.com.
FOR MORE INFORMATION :
Oskar Mühlbach, Group CEO
Måns Svalborn, Group CFO
Andreas Kovacs, Head of investor relations
This information was brought to you by Cision http://news.cision.com
The following files are available for download:
Raketech Q4 2019
Press release PDF