In 2024, Zeal Records a Significant Boost in Revenue; Plans for Further Expansion in 2025
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Zeal raked in a whopping €188.2 million in revenue in the year 2024, marking a jaw-dropping 62.2% increase over the previous year. This figure exceeded the initial projected revenue of €150.0 million, showing the company's impressive financial progress. The financial outcomes, unveiled on March 26, underscore Zeal's ability to surpass expectations.
The lottery sector was the driving force behind this growth spurt. Lottery revenue surged by 59.3%, reaching €168.3 million. A significant part of this growth can be attributed to the Eurojackpot reaching its highest value for 13 draws, which the company acknowledged as a "favorable" jackpot environment. Zeal also boosted player engagement by introducing the 'Traumhausverlosung' draw, offering a dream house as the prize.
Active customer numbers surged by 25.0%, reaching 1.4 million. The average revenue per active customer also climbed by 27.2%. gamers pocketed €876.8 million in prizes, and lottery billings surpassed €1 billion for the first time, representing a 28.0% increase.
Online Gaming Makes a Big Splash
Zeal's online gaming segment, launched in Germany through Lotto24 and Tipp24 in mid-2023, played a significant role in the company's success. Despite its recent entry, online gaming revenue exploded to €9.9 million in 2024, reflecting a staggering 224.1% surge.
The online gaming division continued to attract players, with year-over-year growth in active users and average revenue per customer. Total billings reached €133.1 million, a 220.0% increase. Players also won €28.7 million from the platform's offerings.
7Bit Casino - 177% up to 5BTC + 77 Free Spins! Visit Site*Zeal significantly amplified its marketing efforts, with spending skyrocketing 58.0% to €56.9 million. This aggressive marketing approach helped the company attract a record 1.3 million new customers - more than double the previous year's total.
Operating expenses rose by 53.3% to €129.4 million. However, Zeal's EBITDA reached €61.9 million, signifying an 88.0% increase. After accounting for amortization, depreciation, and interest, the company reported a pre-tax profit of €50.3 million, a 125.3% rise. Net profit soared by 333.2% to €59.4 million.
CEO Helmut Becker, who announced his decision to step down, expressed pride in the company's achievements. "In our anniversary year 2024, we achieved a record triple in our business development in terms of new customers, revenue, and EBITD," said Becker. He further highlighted Zeal's pioneering role in the German market, particularly with the launch of the 'Traumhausverlosung.'
Becker will remain CEO until January 31, 2025, concluding a decade-long tenure.
BetUS - Get 125% / $2,500 on 1st deposit! Visit SiteLooking ahead, Zeal anticipates generating revenue between €195.0 million and €205.0 million in 2025. While this would represent moderate growth of 6.3% at the midpoint, EBITDA is projected to decline, with estimates ranging from €55.0 million to €60.0 million - potentially 7.1% lower than in 2024.
The company also plans to beef up its marketing budget to between €60.0 million and €70.0 million, focusing on expanding its presence in Germany.
- The online gaming segment of Zeal, launched through Lotto24 and Tipp24 in Germany, attributed to a significant portion of the company's success by generating €9.9 million, significantly exceeding its initial revenue and reflecting a staggering 224.1% surge in 2024.
- Zeal's online gaming division also witnessed a rise in active users and average revenue per customer, with total billings reaching €133.1 million, marking a 220.0% increase compared to the previous year.
- Despite the increase in operating expenses due to Zeal's aggressive marketing approach, the company's EBITDA still saw an 88.0% increase, and its net profit soared by 333.2% in 2024, showcasing the success of this zeal in marketing and sports entertainment.
