Malta-licensed online gambling operator Unibet says profit fell nearly one-third in Q1 due to a combination of increased marketing costs and unfavorable currency exchange rates.

Unibet reported profit before tax falling 32% to £11.3m in the three months ending March 31, while earnings were down a similar percentage to £14.4m. Revenue was essentially flat at £76.1m although the company says that if those pesky currency fluctuations were eliminated, revenue would have risen over 15% despite “strong comparatives” with the same period last year.

Unibet acknowledged that its 18% rise in marketing costs – spent primarily in its UK and Australian markets – had depressed Q1 margins but assured investors that the benefits of these promos were already being felt. The company said active customer ranks had risen nearly 11% to 612k, an all-time high that surpassed the levels seen during the 2014 FIFA World Cup, while customer deposits were up 12% (25% in constant currency).

Sports betting was Unibet’s star performer in Q1, with revenue up 8% to £35.5m despite free bet offers eating away at margins. Betting turnover rose 17% (30% in constant currency) and the vertical’s share of the overall revenue pie rose eight points to 47%. In-play wagers accounted for 52.4% of total bets, up from 45.1% a year ago.