Expect more brands, says Cherry chief
CEO Fredrik Burvall says operator is confident of integrating new brands quickly and efficiently
Cherry CEO Fredrik Burvall says the operator will look at adding more brands to its growing portfolio after revenues in Q3 were heavily boosted by recent acquisitions.
As well as acquiring Germany-facing casino operator Almor Holding, the firm has also launched two new brands, SveaCasino and SuomiCasino, this year.
“We have a multi-brand strategy – in some markets you need local brands, in some you need generic brands,” Burvall told eGaming Review after this morning’s results.
“We have a good portfolio that we believe we can grow faster than the market, but yes, there might be more brands,” he added.
Cherry will be buoyed by the speed at which the Almor brands, which were only acquired in July, are already making substantial contributions to the bottom line.
Although Cherry did not break down exactly how much of the 131% revenue hike was attributable to Almor, eGR understands organic growth also remains strong, in excess of 30%.
“We have proven we can integrate new brands quickly and efficiently. We launched SveaCasino in less than two-and-a-half months, and SuomiCasino was developed even faster,” said Burvall.
“We believe we have a flexible and good platform and the skills to integrate quickly,” he added.
As well as rolling out new brands, Cherry has done a good job diversifying its offer in recent years. It has a strong affiliate presence, boosted by its Game Lounge acquisition in January, and it has also invested heavily in games developer Yggdrasil, an investment Burvall said is beginning to pay dividends.
He said Cherry will continue to invest in Yggdrasil – including more personnel – in a bid to establish it as a “top three gaming provider”.
“I think Yggdrasil has proven this quarter that they produce very high quality games. We believe we can return good results even while growth remains the primary strategy,” Burvall said.
Of course Cherry has pedigree on the development side, having been an early investor in NetEnt. The operator will be hoping that taking a flexible approach will allow it to repeat the trick.