Bet-at-home cuts marketing, sees profits soar 20%
Betclic Everest-owned firm records Q1 EBITDA of 9.6m following a 15% reduction in marketing spend
Betclic Everest subsidiary bet-at-home recorded a Q1 profit of 9.6m following a double-digit rise in gross gaming revenue (GGR) and a 15% year-on-year decrease in marketing expenditure.
The Frankfurt-listed firm reported EBITDA for the three months ended 31 March was up 20% year-on-year, as GGR increased 13.1% year-on-year to 28.4m and marketing spend fell 16% to 6.5m.
The firm said the growth in GGR was the result of new acquisition and retention strategies as its number of registered customers increasing from 3.7m in Q1 2014 to 4.1m this year.
“In Q1 2015 we didn’t have huge marketing campaigns, therefore the expenses have been comparably low,” bet-at-home investor relations manager, Klaus Fahrnberger, told eGaming Review.
“During the football World Cup 2014 we gained further brand awareness all over Europe through our marketing campaign last summer, which has lots of follow-on effects in the following quarters,” he added.
Last year the operator was awarded a licence from the Great Britain Gambling Commission, as well as being named on a list of 20 operators to receive a German online sports betting licence.
Bet-at-home’s share price was 74.3 on the Frankfurt Stock Exchange (Frankfurter Wertpapierbörse) at the time of writing.