Issuing a market update, the governance of Stockholm-listed Cherry AB has informed that it expects its Q1 2018 revenue and earnings results to be ‘better than anticipated’.
Upping its Q1 2018 forecasts, Cherry governance expects to deliver period corporate revenues of SEK 675 million, combined with a group EBITDA of SEK 188 million.
The Stockholm enterprise details a significant improvement in its EBITDA operating margin which is reported to have hit 28% for the trading period.
“The reason for the better than anticipated development is primarily attributed to a continued improvement within the business area Online Gaming. During the quarter, several brands in the business area enjoyed favourable market growth, which in combination with the ongoing focus on a more efficient organization of ComeOn operations, resulted in a better development than anticipated by the Cherry Management” detailed Cherry in its market update.
Last February, Cherry governance moved to promote Anders Holmgren to the capacity of Group Chief Executive, following a 2017 performance weighed down by a tougher than anticipated integration of acquired ComeOn assets.
Taking over Cherry leadership, Holmgren has moved to install a new executive operating team at ComeOn, which have identified ‘several priorities for improvement’ and accelerating growth.
Cherry AB will present its group interim report for January–March 2018 on 3 May 2018.