NetEnt CEO Per Eriksson has hailed 2014 as ‘another fantastic year’ for the slots developer with revenues, operating profit, cash flow and proposed transfer to shareholders all reaching new record levels.
The Swedish firm reported revenues for the fourth quarter has increased by 33.8% to SEK 241.1m, while revenues for the full year increased by 35.0% to SEK 851.7m. Operating margin for the year was up to 30.7% from 28.5%.
Eriksson commented: “Revenue growth for the full year, even adjusted for currency changes, is the highest ever for the company, with a continuing strong operating margin. New customers and favourable currency changes contributed positively, but the main driver of the increase in revenues and earnings was solid underlying growth among our customers. I am convinced that NetEnt’s focus on developing world-class entertaining and thrilling games makes us well positioned to keep growing on existing and new markets.”
Eriksson added that the company was continuing to innovate. “For the first time ever, we developed a new game entirely in HTML5 for both desktop and mobile, a slot game based on the classic Universal Pictures movie The Invisible Man. Previously, all our games were developed in Flash and this is a change that is expected to yield economies of scale going forward.
“Mobile gaming continues to grow strongly and during the year we have increased our investments into this channel in order to further strengthen NetEnt’s leading position. In the fourth quarter, mobile games accounted for 17.3% of our total game win, compared to 9% in the same period last year.”