Struggling gambling operator Global Gaming has revealed the extent of its current difficulties with the release of financial results that show a big loss for the latest quarter.
The firm released their trading statement for the third quarter of 2019 at the end of the week, revealing big losses of €3.7 million as the Sweden-based operator continues to count the cost of the Swedish regulator Spelinspektionen removing its Swedish licence.
The figures show declines in all of its key divisions. Overall, Q3 revenue dropped by 78% to €5.6 million, while their revenue for the year to date is €33.3 million, half what it was last year.
The big fall in their revenue figures have been put down to the problems affecting the flagship brand NinjaCasino. This online casino brand accounted for 90% of the Global Gaming group revenue, and they have been hit hard by the revoking of NinjaCasino’s licence.
The Group has produced a number of measures that were designed to cut costs but despite these, their 2019 operating losses have been recorded at €8.6 million.
And those problems are not likely to ease any time soon. The Group had applied for injunctive relief in the wake of the judgement. But the Administrative Court of Appeal in Sweden rejected the appeal and they were not given permission for a review of this decision.
Explaining the poor results, the Group’s Chief Executive, Tobias Fagerlund has written to investors, laying out the actions that the Group have taken as they attempt to challenge the decision by Spelinspektionen. He also said that the Group were working on a new strategy to reposition the Group’s future outside the Swedish market, with the focus on boosting new ventures in other market. The letter states that these plans will be presented publicly in 2020.