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Cherry Group Positive numbers in Q1-2016 report

Thursday May 12,2016 :  GROWTH AND PROFITABILITY RISE AT CHERRY GROUP
 
Positive numbers in Q1-2016 report.
 
The Cherry online and land gambling group has posted its Q1-2016 results, highlighting the following achievements:
 
* 86 percent growth in revenue at SEK 177.5 million and a positive EBITDA of SEK 25.6 million;
 
* Online contributes 78 percent (Q1-2015: 63 percent) of group revenue;
 
* Profitability improved with after tax profit at SEK 17.5 million (Q1-2015: -11.8 million);
 
* Online gaming revenues grew by 118 percent with EBITDA at SEK 16.5 million (Q1-2015: -5.7 million);
 
* Yggdrasil Gaming grew by 519 percent with EBITDA at SEK 7.9 million (Q1-2015: -0.4);
 
* Restaurant casino increased turnover by 10 percent and EBITDA to SEK 4.5 million (Q1-2015: SEK 3.9 million).
 
* In January, the acquisition of Moorgate Media Ltd, a Malta-based affiliate company was finalised;
 
* Yggdrasil Gaming awarded the licenses by the UK Gambling Commission in late December 2015 and is now live in the UK with its full product suite. The subsidiary has already signed agreements with six operators in the UK, Management reports;
 
* Group consolidated cash was SEK 61.5 million (Q1-2015: SEK 28.9 million) on 31 March;
 
* Active customers increased by a total of 234 percent compared to the first quarter of 2015.
 
Events occurring after the close of the quarter included:
 
* In April, Cherry signed an agreement to acquire 49 percent of the shares in ComeOn Malta Ltd. with an option to acquire the remaining 51 percent. ComeOn markets games under several well-established brands such as ComeOn.com, Mobilbet.com, CasinoStugan.com, folkeautomaten.com, Suomikasino.com, GetLucky.com and Kasyno.pl.
 
ComeOn’s sales in 2015 were close to Euro 80 million, an increase of about 60 percent compared to the previous year. The operating profit grew to approximately EUR 13 million, an increase close to 70 percent compared with the previous year. ComeOn expects to have sales of Euro 100-120 million, with an operating profit of Euro 19-23 million, in 2016. The acquisition is expected to complete in June this year.
 
Cherry CEO Fredrik Burvall said in a statement that the group continues to deliver according to its strategy, which combines organic growth with strategic acquisitions.
 
"Cherry's online activities continue to grow very strongly," he said, predicting that this side of the business is expected to grow faster than the market.
 
Burvall revealed that a listing on the Stockholm Nasdaq remains an important goal for the company in 2016, and said the firm is also strengthening its customer base in sports betting, with the prospect of enhanced revenues from the ComeOn acquisition.
 
He noted that the group is strongly positioned as the only private gaming company participating in the reference group for a new gaming legislation in Sweden. Together with Visita, Cherry has met with the special investigator, Håkan Hallstedt, during the quarter, where a proposal for a change of the present legislation was presented.



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Betradar Launches US Sports Betting Solutions - With only a few weeks to go until the betting and gambling world descends on ICE in London, Betradar have today announced that they will be launching a comprehensive range of tools and services to any company that will be looking to provide sports betting in a post-PASPA United States.

Abdelaouhab Zizi Wins MPNPT Morocco Main Event - Abdelaouhab Zizi has defeated fellow Casablanca resident Fadhil Farag heads up to win the 2018 MPN Poker Tour Morocco Main Event and MAD 375,000 (c. €33,220) after a two-way deal.

Final 12 For MPNPT Morocco - Sunday on the MPN Poker Tour Morocco will see several trophies awarded at the Mazagan Beach Resort, with the largest going to the Main Event champion along with a prize of MAD 400,000 (c.€35,400).

MPNPT Morocco Updates - Leading the 104 combined survivors from both flights is still Said El-Yousfi with 272,000 chips; visit the MPN Poker Tour blog for an end-of-day recap and full chip counts.

MPN Poker Tour Morocco Day 1A - The MPN Poker Tour has returned to Morocco this week (January 11-14), featuring the MAD 1.5 million guaranteed Main Event, accompanying side events, and the activities and parties for which this tour has now become known on two continents.

2018 MPN Poker Classic - The MPN announces the return of The Classic tournament series this January. The series is back following its successful €350,000 guaranteed debut in 2017. This time €500,000 is guaranteed, along with a once in a lifetime trip to Monaco for the Classic Champion.

PDC and Sportradar Renew Deal - Following this month’s hugely successful World Championship, the Professional Darts Corporation (PDC) and long-standing partners Sportradar have renewed their multi-faceted cooperation that will see the leader in sports data and content continuing in their role as official data

Poker Yaar Joins MPN - Available through download, instant play and mobile, Pokeryaar.com is live with Omaha, Hold’em and Five-Card poker variants, alongside MPN’s Fish Party, the industry’s only progressive jackpot SNGs.

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