Malta-based online gambling operator Unibet Group has announced its financial results for last year showing a 52.9 percent drop in profits after tax to £8.8 million despite strong revenue growth.
Unibet reported that gross winnings revenues increased 29.7 percent for the fourth quarter to £34.9 million while those for full year rose 52 percent to £123.4 million. In addition, profits from operations amounted to £12.8 million for the fourth quarter, an increase of 71 percent, while those for the year also rose 71 percent to £36.5 million.
The number of active customers grew by eleven percent over the fourth quarter to reach 292,168 but this figure was down five percent from 2007 as the firm focuses on higher quality players. Unibet defined an active customer as one that had placed a bet in the last three months but revealed that the number of registered customers increased six percent to 3.1 million for the quarter while rising 25 percent for the year.
'Our well balanced product portfolio and customer offering has resulted in growth in gross winnings of over 50 percent and growth in profits from operations of over 70 percent year-on-year,' said Petter Nylander, Chief Executive Officer for Unibet.
“The focus on cost control and the investment cycle over the last two years coming to an end has resulted in higher margins and a drop in capital expenditure of 34 percent. Our strong business model has delivered an increase in adjusted operating cashflow of over 170 percent year-on-year.
“During the first six weeks of 2009 we still see a healthy growth in the business. This is why we reiterate that, given the growth in the online gambling market, it is difficult to determine what impact the actual financial situation in the world has on our business model.