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ZEAL has had a great start to the fiscal year 2023. The company’s first quarter report shows that this is true.
ZEAL has continued to grow its customer base with 143 000 new registered customers. The CPL (cost-per-lead) fell by a small amount year-on-year to EUR 36.77 (2022: EUR38.09).
The volume of transactions increased by 11 % to 201.2 millions euros (2018: 181.2million euros). The sales revenue was 26.7 million euro, an increase of 6 % compared to last year. Due to product mix, the company’s gross profit margin was 12.4%, 0.5% lower than the previous year (2022:12.9%). Overall, ZEAL increased EBITDA to 9.3 millions euros from 8.9 million euro in 2022. EBIT was also higher than the previous year’s figure of 7.1 million euro (2022: 6.8 million euros). A EUR 0.8m increase in tax expenses caused the net profit to fall to EUR 4.44 million (2022: EUR 5.04 million).
At the Annual General Meeting of ZEAL on May 9, 2023, in Hamburg, the dividend proposal of 3,60 euros per share also was adopted.
The granting of the permission by the Joint Gaming Authority of the Federal States to offer virtual slots (online games) was the highlight of 2023 for the ZEAL Group. The market leader in online lotteries enters a brand new segment of the German market with the grant of the permit.
ZEAL’s membership in the World Lottery Association is another milestone. The WLA is an international organization that represents state-licensed lottery providers, sports betting suppliers and suppliers. This circle is a testament to the high reputation of the online market leader and a commitment to comply with WLA standards in terms of social responsibility, responsible gambling, security, and risk management.
ZEAL plans to continue expanding its market share as an online lottery provider and launch new products including virtual slots under the newly acquired license. The company still expects a billings amount of EUR 800 to EUR 830 millions for the Germany segment, assuming a jackpot average. ZEAL also continues to project revenues in the range of EUR 110 to EUR 120 millions in fiscal year 2023. The company anticipates an EBITDA of EUR 30 to EUR 35 millions. The leader of the online market plans to spend significantly more on new customer acquisition this year than last and anticipates marketing costs between EUR 34 and EUR 39 millions.
We are happy with our strong start to the year, and proud of the achievements and positive growth of our key numbers. Jonas Mattsson is the Chief Financial Officer at ZEAL Network SE. He said that receiving the long-awaited approval to offer virtual slots games will allow us to expand our business.
