‘Innovation’ driving Yggdrasil’s growth
Yggdrasil said that revenue growth of more than 200% during the final quarter of 2016 shows the company is going from “strength to strength”.
In a trading update, the Cherry AB-owned games developer, said revenues were up 207% year-on-year to SEK 31.8 million (€3.4 million / $3.5 million) during the period to December 31, with EBITDA margin at 42%.
Yggdrasil said the number of player transaction increased by 210% year-on-year to 633 million, while mobile gaming is now 51% of total gross game win.
For the full year to December 31, Yggdrasil’s revenues increased by 332% to SEK 86.9 million, while EBITDA improved significantly by 670% to SEK 40.1 million.
“Yggdrasil Gaming continues to go from strength to strength during yet another quarter which has seen excellent growth, new operator signings, new games and new industry firsts,” said chief executive Fredrik Elmqvist.
“The figures for the quarter are particularly pleasing, with revenues up 207% and EBIT hitting a new quarterly high of SEK 9.3 million.
“I am delighted to report that we have the full confidence of our operator partners, in large part because they trust us to continue to deliver the innovations and games they require to keep their players engaged.
“We remain committed to doing things our own way. Yggdrasil White Label Studios, our strategic collaborative partnership programme which was launched in Q3 2016, continues to make progress, and we now have two customers on board. We firmly believe it will transform the way slots are developed.”
The company reiterated its intent to launch in Italy by the end of Q2 2017. Elmqvist admitted that as a latecomer to the Italian market, the company will “need to make an immediate impact”.
Yggdrasil is already licensed in the UK, Gibraltar, Malta and Romania.
Related article: Yggdrasil maps out Italian expansion plans