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Betsson Revenue in the second quarter increased by 9 percent

BETSSON UPWARD TREND CONTINUES DESPITE A DIFFICULT SECOND QUARTER
 
Revenue in the second quarter increased by 9 percent.
 
The Swedish gambling group Betsson has issued its second quarter and half-yearly report, showcasing a continuing upward trend in performance and highlighting:
 
Second quarter:
 
* Revenue increased by 9 percent to SEK 935.4 (860.6) million. Exchange rate fluctuations had a negative impact on revenue of SEK 32.8 million;
 
* Casino revenue amounted to SEK 683.2 (617.8) million, an increase of 11 percent. 73 (72) percent of the total revenue in the second quarter was attributable to Casino;
 
* Sportsbook revenue was up 8 percent at SEK 223.0 (206.4) million, but a low sportsbook margin resulted in lower than expected revenues;
 
* Mobile revenue increased 34 percent amounted to SEK 383.1 (286.1) million, and now represents 41 percent of Group revenue;
 
* Operating income rose to SEK 158.3 (213.8) million and the operating margin was 17 (25) percent, but was adversely impacted affected by unfavourable exchange rate fluctuations amounting to SEK 23.5 million;
 
* Income before tax was SEK 156.4 (212.3) million;
 
* Net income amounted to SEK 146.4 (201.6) million, corresponding to SEK 1.06 (1.46) per share;
 
* During the quarter, the number of active players rose 58 percent to 563 247;
 
* Customer deposits in all of Betssons gaming operations amounted to SEK 3 472.8 (3 116.6) million, an increase of 11 percent;
 
* Europe-Bet, which was acquired in 2015, contributed by SEK 94.1 (-) million to revenue in the quarter, and by SEK 22.9 (-) million to operating income.
 
For the half year to end June 2016, the company reported:
 
* Revenue increased 13 percent to SEK 1,935.5 (1,708.0) million;
 
* Operating income came in at SEK 408.4 (451.8) million;
 
* Income before tax amounted to SEK 405.3 (448.7) million;
 
* Net Income of SEK 380.3 (425.7) million was posted, corresponding to SEK 2.75 (3.08) per share;
 
Chief executive Ulrik Bengtsson reported to shareholders:
 
"The results in the second quarter did not live up to our expectations. Many factors made the quarter challenging; primarily unfavourable currency effects, lower than average sportsbook margins and lower revenue in certain markets, partly due to regulatory changes.
 
"Betssons subsidiaries operate in a dynamic environment which is highly demanding. They have taken several actions in the past months in order to increase growth and thereby profitability.
 
"The sportsbook offering and functionality have been improved considerably, new exciting products have been launched and our casino has been upgraded. These actions will have effect in future quarters, and we have already in the end of the second quarter seen a strong uplift in active customers. The third quarter has started with daily revenue significantly above the average of the second quarter."

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Gambling News :

GVC In Content Deal With Microgaming’s Quickfire - Microgaming-powered Prima Networks Limited will supply over 50 new titles to GVC’s recently acquired bwin Casino, PartyCasino and Party Poker gaming sites within the coming weeks.

Opap in memorandum of understanding With Inspired - Virtual sports provider Inspired has entered into a memorandum of understanding (MOU) with Greek betting and lottery operator OPAP for the supply of its full suite of virtual sports, for integration online and across OPAP's retail network.

DeltaCorp To Acquire ace2three - Our readers will recall Delta Corp. acquired a 26 percent stake in Gaussian Networks, parent company of India’s largest online poker operator Adda52 earlier this month

More Australian POC Taxes - In an interview with The Australian, Tabcorp chief executive offer David Attenborough warned “global rivals” of his belief that other Australian states are moving fast to follow South Australia’s lead in implementing a point of consumption tax.

William Hill Exits Russia - "Starting from September 23 William Hill Casino Club will terminate its activities in the Russian territory for legislatory reasons. All active customer accounts will be suspended," the advisory reportedly detailed.

Pennsylvania Online Gambling Hearing Postponed till October - HR 2150, which includes DFS and e-gaming elements, was passed as part of the critical state budget bill by the House in June this year, with lawmakers expecting the bill to contribute $100 million annually in licensing and fees to help balance the state budget.

Two Mega Fortune Dreams Jackpots Hit - Both Swedish players, the first lucky punter hit a GBP 100,000 jackpot playing on his mobile phone, while the second, identified as Martin, staked just 18p before netting a GBP 60,000 jackpot on the popular series thinking he was playing in demo-mode.

ASA Looking at Ladbrokes and Netbet ads - A TV ad for Cosmo Gaming’s NetBet online casino was determined by the UK Advertising Standards Authority (ASA) as glamorising online gambling following a single complaint.

Betconstruct In Deal With Realistic Games - BetConstruct has agreed a deal in which it will integrate a range of Realistic Games online table and slot content including blackjack, roulette and slot titles Super Graphics Upside Down, The Fruit Factory and Fireworks.

XLMedia Half 1 2016 Earnings Report - Online gambling marketing company XLMedia, which operates websites driving players to online casino operators, delivered robust interim results for the first half of 2016, attributing its success to investment in technology.

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