Betsson cuts marketing budget but posts increased net sales
Thursday 23rd August 2007
Online casino Betsson has announced an increase in both net sales and operating profit for the second quarter of the year.
The Swedish public company published reports showing a 147 percent increase in net sales from $9.1 million to $22.5 million with operating profit increasing to $6.82 million from a net loss during the same period last year.
Group President Pontus Lindwall said that Betsson.com launched its French-language site in the quarter and flagged a new dividend policy that will see up to 75 percent of the company’s income after taxes distributed to shareholders.
The company said that marketing and freebies to new customer expenses have been reduced in favour of better offers to existing customers and product development with income after taxes for the remaining operations amounting to $12.3 million.
Its second quarter interim report revealed that Turkish legislation against online gaming has complicated Betsson’s participation in that market with the gaming volume from Turkey declining significantly from the end of last quarter.
Betsson launched Italian, Spanish and Greek language sites during the period covered and reported that these products are enjoying strong growth, which bodes well for increased gaming revenues for the third quarter.
Betsson said that it would widen its product offering to include new gaming products, some unique and some already established in the market, while at the same time launching into several new geographical markets.
Online casino Betsson has announced an increase in both net sales and operating profit for the second quarter of the year.