Publishing its Q3 trading statement, Embattled Global Gaming AB records period operating losses of SEK 40 million (€3.7m), as the Stockholm-listed enterprise continues to suffer from the consequences of its home licence revoke by regulator Spelinspektionen.
Recording declines across all core metrics, Global Gaming sees its Q3 corporate revenues fall by 78% to SEK 60 million (Q32018: SEK253m), as year-to-date revenue is halved to SEK 354 million (2018: SEK 680m).
Sharp declines are attributed to Global Gaming flagship property NinjaCasino, which accounts for 90% of group revenues, being forced to withdraw its services from the Swedish marketplace.
Despite implementing a series of cost reductions measures supporting the firm through turbulent times, Global Gaming 2019 operating losses currently stand at SEK 92 million (€8.6m).
Global Gaming legislative woes continued during Q3 trading as an
appeal for injunctive relief from Spelinspektionen decision was rejected by the Administrative Court of Appeal. Review permit was not granted by the Supreme Administrative Court.
In its trading statement, Global Gaming Chief Executive Tobias Fagerlund has issued a letter to investors, detailing corporate developments seeking to overturn Spelinspektionen ‘wrong and disproportionate’ judgement.
In addition, Fagerlund specifies action taken by corporate governance to mitigate the firm’s embattled circumstances., which include organisational restructure lowering headcount of its Malta offices and significantly reducing the firms fixed cost base.
Fagerlund and governance are ‘extensively working’ on transformation strategy to redefine Global Gaming’s future outside of Sweden, focusing on growing new market ventures, which will be presented in 2020.
“Like many of our shareholders, I am frustrated and disappointed by how 2019 turned out. For what it’s worth, I’d like to reassure all those who are interested that we are by no means out for the count. Granted, we have a lot of hard work ahead of us and it will take time, but we still have a lot to give and you can expect to see results even short term.” Fagerlund states in his address to Global Gaming investors
“We are working relentlessly and the processes we can affect ourselves are moving forward according to our high expectations. Of course, we’d like to see quicker results and our patience may be stretched at times, but the future appears brighter now than it has for many months. We are in the process of building a long-term, flexible and high-quality business with the only aim to deliver positive financial results and return on investment to our shareholders.