Dedicated expansion plans for Lotto24
German online lottery brokerage firm Lotto24 is to target a “dedicated expansion” of its market position this year after recording significant growth and achieving its “planned milestones” during the 2013 fiscal year.
The company said revenue totalled €2.8 million ($3.9 million) in 2013, well above the previous year’s figure of just €100,000.
Billings also jumped from €1.1 million in 2012 to €30.5 million in the most recent 12 months.
In addition, Lotto24 said gross margin also increased from 8.6% in the previous year to 9.1% in 2013 while new customer registrations grew from 208,000 in 2012 to 237,000 in fiscal 2013.
Despite the positive figures, Lotto24 also reported that EBIT fell from -€4.3 million in the previous year to -€11.3 million in 2013, a decrease the company said was “expected” and attributed to start-up and marketing costs.
Petra von Strombeck, chief executive officer of Lotto24, said: “The development of all key figures in the first fiscal year in which we were largely able to advertise continues to indicate that customers are behaving exactly as expected, based on our earlier experience from 2008.
“This confirms our assessment that Lotto24's business model works and that we are entering a phase of dynamic company growth.
“Our main aim for 2014 is the dedicated expansion of our position as the leading German broker of lottery products via the internet.”