Evolution revenue rockets by 68% as NetEnt integration completes

Evolution has reported a 68% year-on-year revenue rise to €177m (£154.9m) in the fourth quarter of 2020. The live casino firm’s revenue received a €17.8m boost from its newly acquired NetEnt business, which allowed the business to expand into slots. Company EBITDA for Q4 rose by 72% annually to €96.2m, corresponding to an EBITDA margin of 54.2%. Profits also increased by 72%, hitting a new high of €80.6m. At a full-year 2020 level, operating revenue jumped by 53% to €561.1m, with an 82% rise in company EBITDA during the same period. Evolution’s full-year 2020 profits amounted to €284.6m amid a year-on-year increase of 90%. “We end an eventful 2020 on a high note with a quarter that marks a significant step forward for Evolution,” said Evolution CEO Martin Carlesund. “Through the acquisition of NetEnt, we add a second vertical to our unrivalled live casino offer and two strong and fantastic new brands to our product portfolio. This makes us well-placed for our long-term ambition of taking a leading global position in online casino. “I am excited about what lies ahead for 2021 when we will continue to increase the gap to the competition,” he added. Evolution’s acquisition of NetEnt resulted in the shuttering of the NetEnt Live brand, as well as office closures and significant redundancies. Carlesund explained: “We acquired NetEnt because we believe that together we can create something great. “To maximise the potential of this acquisition, it was essential that we discarded existing structures and rapidly rebuild ourselves in a joint version. “We were well prepared before the takeover and started the execution on day one. In the first month following the closure, we completed the planned integration,” he added. The Evolution CEO revealed the firm expects to generate €40m annual run-rate cost synergies from the deal, €10m more than previously expected during the first two quarters of 2021 and six to nine months earlier than estimated.