NetEnt Releases Excellent Q1 Results Despite Severance Package to Former CEO
Results are in for the first quarter of 2018 for online technology supplier NetEnt. The Stockholm based giant released their latest figures which show revenues of $50.5m for the quarter which is 31% higher than the same period last year.
The figures would have been even better if NetEnt did not have to pay the former CEO Per Eriksson a severance package after been showing the door by NetEnt’s Board. It was reported that despite the good results there was disappointment at the rate of growth and the board favored new leadership to lead the company in the long term.
Factors contributing to at the quarterly figures were also weakness in Norway which was made worse by plans to further restrict payment processing by unauthorized international sites.
In terms of revenues from locally regulated markers NetEnt’s share rose by three points of 34% which was mainly due to a strong performance in Italy. Netent also said that they plan on expanding activities in the U.S. by applying to the newly regulated Pennsylvania market. In addition they plan on launching in Canada via British Columbia’s BCLC’s PlayNow.com in Q3.
Operating profit rose 5.5% to SEK134m and after-tax profits shot up nearly 27% to SEK146m.