Scout manages to grow its customer base by lowering losses
The so-called Gaming Group Scout Gaming Group has reported a 127.5% annual increase in its revenues for the third quarter. Spelgruppen, which is a game provider of fantasy sports (Eng. "Fantasy Sports") in the third quarter has managed to reduce its losses over the same period.
Their revenue in the last three months up to and including september 30, 2019 reached a whopping$8.2 million onor. Andreas Ternström, who is the manager, commented on the matter. He said, among other things, that it is thanks to customers who helped their gaming market in Scout-driven fantasy games during their first learning period.
The manager further commented by saying, ” We have signed new contracts with new customers, increased our prize pools, launched new betting-related games as well as our own in-house sportsbook covering the fantasy betting markets. "He added that, ” This has led to extremely high revenues, which has improved the profitability of our entire business. ”
He also mentioned that the customer base that has grown means that the game provider can now offer the world's best and largest fantasy range for European football. This will provide them with a competitive edge against their competitors.
The next step for Scout Gaming Group
What the next step for Scout Gaming Group will be is, among other things, expansions. For example, they have signed several important supplier agreements in recent months, including one with Betway, among others, where they will launch their games in African markets together.
They also teamed up with Eurovision Sport, which is a division of the European Broadcasting Union (EBU) where their games were licensed out to the Union and its partners. So the third quarter for Scout Gaming Group turns out to be really good for them and that the future looks bright is no longer in doubt.
Their new Player Odds Sportsbook, which combines Fantasy game mechanics with real money betting, went live during August this year. These various expansions have led to increased costs over the past three months which exceeded then about$18 million onor.
Staff costs climbed to$9.2 million while other external costs climbed to $ 6.9 million. Around$2.6 million onor accounted for related costs to depreciation and impairment charges for the business.
However, Ternström believes that profitability will increase over time and that they look forward to signing new gaming agreements with new clients in the future. He means that, ” volatility between quarters can fluctuate, but in the long term, revenues grow so that it creaks, as luck would have it. ”