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NET ENTERTAINMENT POSITIVE PERFORMANCE

03/24/2012 :  NET ENTERTAINMENT POSITIVE PERFORMANCE
 
Live Casino to be launched in the second half of the year
 
Online gambling supplier Net Entertainment delivered its Full Year 2011 results turning in a strong performance and exciting plans for the future.
 
Key Performance Indicators include:
 
-     Increase in Revenue of 16.1 percent amounting to SEK 427.6 million (FY2010: SEK 368.3 million).
 
-     Operating profit decreased by 4.9 percent to SEK 129.7 million (FY2010: SEK 136 million) - affected by costs amounting to SEK 6.7 million due to the departure of senior executives.
 
-     Operating margin 30.3 percent (FY2010: 37 percent) - Excluding the cost of executive departures, the Company’s operating margin was 31.9 percent for the full year 2011.
 
-     Profit after tax amounted to SEK 115.6 million (FY2010: SEK 120.5 million)
 
-     Earnings per share amounted to SEK 2.92 (FY2010: SEK 3.05) before and after dilution
 
-     Seven new license agreements signed, including G.Matica and Sky Betting & Gaming.
 
-     Eleven new customers’ casinos launched
 
-     Number of game transactions grew by 41.7 percent to 8.6 billion - largely attributed to slot games
 
-     The Group’s cash and cash equivalents amounted to SEK 74.2 million (FY2010: SEK 47 million) on December 31 2011.
 
Investments during the year included the development of new games, development and launch of its mobile channel, technical platform adjustments for increased functionality and regulated markets, construction of a test studio for its anticipated Live Casino product, platinum and branded games and office expansions.
 
The future outlook for the company is bright with big expectations for its recently launched mobile portfolio, the debut of its new Live Casino product - scheduled for the last quarter of the year and its strategy to increase its presence in the United Kingdom advancing well.
 
"All in all, 2011 was a fantastic year for Net Entertainment with continued strong organic growth in combination with strategic initiatives, and I am very excited about the future which holds great opportunities for the Company,” commented Björn Krantz - acting president and CEO of Net Entertainment during the period August 2011 to February 2012.
 
Per Eriksson, current president and CEO of Net Entertainment appointed March 2012 added: "With Net Entertainment’s focus on customer closeness, product and technology leadership the Company is well positioned for the future and it will be very exciting to take the Company to new ground together with our skilled and motivated employees".



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