Fortuna upgrades 2014 outlook as profits soar
Central European operator expects 10%-20% EBITDA growth as online sports betting gross win climbs 34%
Central European operator Fortuna has upgraded its 2014 outlook after group EBITDA for the first nine months of the year grew 21% to 22m following rapid growth in its online sportsbook.
The operator said it expected to report EBITDA growth of between 10-20% for the full year as both stakes and gross win beat expectations for the nine months ended 31 September.
Gross win from its online sportsbook increased by more than a third (34%) year-on-year to 48.4m, approximately half of its total gross win for the period, while total group stakes grew 21% to 491.6m.
While the majority of EBITDA was derived from its sports betting business, its lottery arm returned to growth after it posted a profit of 84,000, up 128% on the 300,000 loss it recorded in the first nine months of 2013.
The operator strengthened its grip on the Austrian market with a 37% market share, however CEO Radim Haluza cited the growth of its online business in the Czech Republic as one of the company’s stand-out performances of the year.
Its online sportsbook in the country has grown at almost twice the rate of its land-based business and Fortuna cited a new draft bill in the country, expected to be adopted by the Czech parliament next year, which would regulate online casino and lottery products in addition to the current sports betting licensing.
In September Fortuna announced that Gala Interactive MD Per Widestrom is to join the firm in the new year to replace Haluza as its CEO, six months after its chairman and former Gala Coral MD Wilf Walsh stood down from his position.