Evolution Profits Surge As It Bets On Online Gaming
Swedish gaming giant Evolution has had a phenomenal twelve months as its share prices have risen by as much as 170 percent. Evolution now sits in the top 10 list of Sweden’s biggest listed companies and now has a market value of $38 billion. To give you an idea of Evolution’s growth, its market value was just $3 billion when it listed in 2015.
Some of the biggest land based gaming operators such as Las Vegas Sands Corp. have always had concerns that online casinos would eat into the profits of land based casinos. This was one of the reasons why Sands Corp. late founder was against the legalization of online gambling and founded the ‘Coalition to Stop Internet Gambling’.
However, many proponents of legalized online gambling have debunked that theory stating that online casinos would not eat into the profits of land based casinos as they have a different market. The COVID-19 pandemic bridged that gap as when land based casinos all over the world closed down, punters were forced to turn to online casinos to get some action going.
H2 Gambling Capital (H2GC) said that based on their forecasts till 2036, the global casino market would increase by 90 percent to $283 billion and online gambling would account for 22 percent of the overall revenues in 2036. To give you a comparison, online casinos are expected to account for 16 percent of the revenue in 2021.
Ed Birkin, senior consultant at H2GC said that it is possible for online gambling to account to account for as much as 50 percent of overall revenues by 2036 provided but that would require online gambling to grow significantly and land based gambling to have a big drop.
Evolution Looking To Dominate
Evolution is the biggest name in the live dealer casino space and its market dominance became a lot bigger after it acquired its biggest competitor in the live dealer space Netent for $2.2 billion in 2020. Evolution now commands the majority of the live dealer market and has over 500 global clients which include the top names in the online gambling market such as Betsson and 888casino.
Evolution has plans to continue to expand its presence globally in all regulated markets and has not ruled out more acquisitions in the near future.