Zeal revenues climb on record customer acquisition
Lottery operator reports Q3 revenue increase of 21% after strong performance in instant win and US lotteries portfolio
Zeal Network today reported a 21% increase in statutory revenue for Q3 to €111.2m, after delivering a record number of newly-registered customers.
Revenue was up 8% on a normalised basis after the lottery operator acquired 418,000 new users across various markets in Q3, an uplift of 54% year-on-year, while average billings (sales) per customer remained steady at €56.58.
Overall billings at the Frankfurt-listed firm climbed to €212.4m for the period, while Q3 EBIT of €12.7m outperformed the firm’s expectations.
The uptick in Q3 billings was driven by higher average jackpots in core products compared to 2017, as well as strong performance in the group’s instant win portfolio and US lottery products.
Zeal CEO Helmut Becker
Zeal CEO Helmut Becker said: “We continue to deliver strong profitable growth; focusing firmly on controlling costs while also improving customer acquisition and activity.
“In our core business, customer numbers, billings and revenues are all significantly up, while our acquisition costs per customer have halved.
“This is the result of the optimisations and investments we have continued to make.
“With positive performance also coming through from our start-ups in Norway and the UK, Zeal is excellently positioned to capitalise on the global lottery sector’s growth potential,” he added.