Yggdrasil Gaming Posts Excellent Q4 and FY Results
The renowned developer of online casino games, Yggdrasil Gaming, has released their financial results for 2018. The year behind us had been an exciting period for the company, which was focused on expanding its presence on regulated markets around the world, whilst at the same time paying attention to its strategic business development.
What’s New at Yggdrasil
In addition to launching a total of 18 new games during 2018, including the company’s first branded title Nitro Circus, one of the most important events for the year was also the launch of its new YGS Masters vertical, created with a goal of bringing together gaming studios to develop and distribute their games through Yggdrasil Gaming’s platform.
During 2018, Rabcat, Northern Lights and Fantasma Games became a part of this vertical, with Avatar UX and 4ThePlayer joining since the beginning of the new year.
Expanding Its Presence and Diversifying the Offer
Commenting on the success of the YGS Masters, Fredrik Elmqvist, Chief Executive Officer and founder of Yggdrasil Gaming, said that YGS, together with the developer’s own offering, enabled the company to provide the best games and end player user experience in the industry.
Elmqvist pointed out he was thrilled on the outcome of these initiatives, and how they would support Yggdrasil Gaming in creating synergies with its current product portfolio and in-game promotional tools.
Yggdrasil Gaming generated €7.4 million in operating revenue during the last quarter of 2018, which represents an improvement of 53% when compared to the corresponding period of last year. This result had a significant impact on the full-year operating revenue, which reached €25.8 million – 62% more than in 2017.
Earnings Before Interest and Taxes (EBIT) in Q4 went up by 13% to €1.9 million, representing a 25% margin. EBIT for the entire year improved by 18% to €6.5 million, with a margin of 25%.
Commenting on these results, Elmqvist stated 2018 also marked as a commercially active year with entry into new markets and the signing of 48 new customers – more than any year before! He pointed out the company would continue to focus on locally regulated market environments and push for global expansion.
A Number of Important New Deals
The list of new customers includes well-established names such as Paf, Veikkaus, and 888, in addition to the deals signed with Svenska Spel and ATG following the re-regulation of the Swedish market.
That’s why Elmqvist pointed out that despite a more competitive and complex market environment, with a regulatory landscape changing at a faster phase than ever before, Yggdrasil Gaming had been successful in capturing further market share.
He emphasised that this was the ultimate proof of the company’s concept and clearly demonstrated that its business was in the game for the long run. Elmqvist also pointed out the importance of the on-going regulation trend, which he deemed as positive, on the back of increased barriers to entry and an overall improved market quality.
According to him, a more responsible approach among industry stakeholders will lead to a safer player environment and a larger addressable market.