Evolution Q1 2021 Profits Increase by 144%

Evolution has released their 2021 Q1 Financial Results today.

The Financial Headlines

• Revenue Growth 105% to 235.8m Euro (115.1) with Live revenue growth up by 60% to 183.7m Euro.
• EBITDA increased by 150% to 160.1m Euro (64.1).
• EBITDA margin 67.9% (55.7%).
• With a Profit for the period up by 144% to 132m Euro (54.2).

Operational highlights

• The Completion of the NeEnt integration and cost synergies.
• Preparation for the launch of Live Casino in Michigan.
• Start of construction of two new studios, one in Europe and one in North America.
• Total product roadmap reconstruction.
• Preparations for the new releases for 2021.
• Continued expansion in all studios.
• Highest ever recruitment – with more than 10,000 employees now working at Evolution.
• Operational challenges and constraints posed by the Covid pandemic.

Press Release Summary

In the press release and subsequent presentation  CEO Martin Carlesund gave us a glimpse of the immediate future for Evolution. The main news was of course the acquisition of Big Time Gaming, which they hope to complete during the next quarter. This will put Evolution in a really strong position in the Slots market and no doubt we see some more collaborations between Live Casino and Slots.

The first to be released in June 2021 will be a collaboration with NetEnt. Gonzo’s Treasure Hunt Live will be an RNG/Live entertainment game like we’ve not seen before. Martin, promises more like this will come.

More innovation is also promised for the more traditional live table games, something I’m very much looking forward to.

Interestingly, now NetEnt has been fully integrated, we can see that in Q1 RNG contributed 22.1% to revenue, while Live contributed 77.9%.

Revenues By Region

The growth in all regions has been steady year on year. The most impressive figures relate to North America where revenues have nearly doubled in the last quarter.

Other markets with strong growth include the UK, the Rest of Europe, and Asia.