NetEnt kicked off the year with its Guns N Roses slot release. The new slot was the first in the 3-part NetEnt Rocks series of slot releases. The game was an instant success, and part of the reason that NetEnt’s first quarter 2016 results have been positive.
NetEnt Shows Positive First Quarter
NetEnt saw a 33.7% increase in revenue in the first quarter with operating profits increasing by 56.6%. After tax, the company showed profits of SEK 121.7 million, a huge increase of 64.1%.
During the first quarter of this year, from January 1st until March 31st, NetEnt launched eight new customer casinos, and signed another nine new licensing agreements. Other notable events that are seen in the January to March Interim Report include an important licensing agreement and games launched between NetEnt and PokerStars in New Jersey in the United States, and the Guns N Roses slot launch. NetEnt also received its associate membership of the World Lottery Association, and won various awards at the EGR Nordic Awards, International Gaming Awards, and the Gaming Intelligence Awards.
Per Eriksson, the President and Chief Executive Officer of NetEnt commented on the digital entertainment company’s strong start to 2016. Eriksson stressed the importance of the New Jersey licensing agreements and game launches that have recently taken place. He noted that this is good for future growth in New Jersey and in other US states should legalization take place.
The company has also seen significant growth in the European market, most notably in the United Kingdom. NetEnt’s UK revenues have almost doubled when compared to the same quarter in 2015. NetEnt’s mobile games have also played an important role in raising the company’s profits in this quarter.
Per Eriksson commented: “We have had a strong start to the year with high growth in revenues, profits and cash flow. In January we released the slot game Guns N Roses, which became our most successful game release so far. The game is part of our new concept NetEnt Rocks, which also includes games based on music and graphics of Jimi Hendrix and Motörhead. We have an exciting year ahead of us and I am positive about the future.”
NetEnt began creating gaming software in 1996. NetEnt has over 700 employees based in offices in a number of locations including Stockholm, Kiev, Gibraltar, Malta, Gothenburg, and New Jersey. The digital entertainment company is publicly listed on Nasdaq Stockholm.