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Raketech Plc has reached new trading records, praising the expansion of its publishing network, which now serves numerous areas and helps to reduce reliance on Nordic markets.
Raketech reported group revenues of €8.8 million in the second quarter of 2021, up 25 percent from €7 million in the same quarter of 2019.
Despite a 15 percent drop in new depositing clients to 34,800 (Q2 2020: 40,800), Raketech maintained its revenue increase in Q2 as part of a new commercial strategy to engage with fewer operators that produce ‘best earnings effective performance.’
Despite the NDC downturn throughout the time, Raketech stated that its publishing network had benefited from ongoing strong sales growth in Japan as well as the addition of a revenue-generating AmericanGambler website to its portfolio.
Strong numbers from outside Nordics
Raketech CEO Oskar Muhlbach said: “The strong numbers from outside of the Nordics made our non-Nordic revenues increase as share of total. Total non-Nordic revenues amounted to 39 percent, compared to 35 percent previous quarter and 19 percent previous year. The development is in line with our ambition to increase our global footprint,.”
Raketech enhanced its Q2 EBITDA to €3.4 million (Q2 2020: €2.8 million) as a consequence of greater organic growth resulting from its modified network strategy.
Raketech reported period operational costs of €3.1 million to support the expansion of its publishing network, while Q2 operating earnings remained at €1.2 million.
Raketech has expanded its publishing network by completing the July purchases of P&P Vegas for the North American market and casino publisher Infinileads SL for the Spanish/LatAm markets.
Raketech’s 2021 expansion strategy will be bolstered by the company’s acquisition of Avida Finans AB’s rights to a €15 million credit facility.
“After the end of the quarter, several important milestones were passed,” Muhlbach continued. “A key activity was that we managed to secure access to additional funding to help us continue, and to some extent also accelerate our M&A efforts, in the form of a new and increased Revolving Credit Facility (RCF) from Avida Finans.”
“This new RCF will be replacing the existing one during the fourth quarter, but we will also continue to evaluate further long-term financing opportunities, in line with our growth strategy and M&A agenda.”