STRONG REVENUES IN PLAYTECH&#039;S LATEST INTERIM REPORT
25th April, 2013 at 04:21:22
Positive movement in most metrics at online gambling group
Online gambling software developer Playtech plc reports that in the first quarter of this year it can boast strong performance metrics in almost every sector in which it is involved.
In an interim management statement covering the three molnth to end March 2013, the group highlighted:
* Gross income up 16% to Euro 102.5 million (Q1/12: Euro 88.4 million)
* Total revenues up 16% to Euro 87.5 million (Q1/12: Euro 75.1 million) and 4% higher than the Euro 83.9 million achieved in Q4/12
Quarter-on-quarter revenue performance numbers showed:
* Casino revenues up 28% to Euro 44.1 million (Q1/12: Euro 34.5 million)
* Services revenues up 2% to Euro 26.3 million (Q1/12: Euro 25.7 million)
* Bingo revenues up 9% to Euro 4.8 million (Q1/12: Euro 4.4 million)
* Sport revenues up 128% to Euro 4.6 million (Q1/12: Euro 2.0 million)
* Poker revenues down 18% to Euro 4.4 million (Q1/12: Euro 5.3 million)
* Videobet revenues down 2% to Euro 2.4 million (Q1/12: Euro 2.4 million)
* Net cash (cash and cash equivalents, less bank borrowings) as at 31 March 2013 of Euro 56.6 million (31 December 2012: Euro 51.7 million)
In its trading update, Playtech reported that average daily revenue for the first 24 days of Q2/13 is up over 10% on Q2/12 and in line with Q1/13, as expected.
Operational highlights included:
commenced its migration onto the iPoker network with completion planned for July 2013
launched mobile casino
and mobile live casino, marking the first step towards a full mobile offering planned to launch in 2014
* Playtech launched its live gaming offering in Spain in partnership with Casino Gran Madrid
* Sky launched mobile bingo app on Apple iOS
* Playtech signed landmark agreements with Ladbrokes
to provide full product suite and innovative marketing services from 1 May 2013
* Betfair launched Playtech bingo
* Paddy Power
migrated its Live Casino to Playtech in April introducing new Paddy Power dedicated facility
* Playtech's revenues come mainly from Europe (66 percent), and Asia Pacific (28% and rising).
Commenting on its now completed parternship in William Hill
Online, Playtech recorded that on April 15 2013 William Hill plc completed its acquisition of Playtech's 29% stake in William Hill Online for £ 423.75 million, delivering a cash-on-cash return of more than 3.5 times, excluding software royalties.
Playtech CEO Mor Weizer said Thursday:
"Playtech has made a strong start to 2013, delivering a robust quarterly performance driven by our flagship casino product, LIVE, and in particular mobile casino and Mobenga.
"Our landmark transaction with Ladbrokes, under which Playtech will provide its full product suite and marketing advisory services, clearly demonstrates Playtech's unique position. Ladbrokes is one of the largest and most respected brands in the betting and gaming industry, and we are very excited about the prospects for this venture and are committed to making it a great success.
"With the completion of the sale of our stake in William Hill Online, we are focused on exploring strategic alternatives that will enable us to continue the growth and development of the business, and in conjunction with this process are consulting shareholders with respect to potential returns.
In view of the Company's performance during year to date, the Board is committed to paying an interim dividend at or above the level of that declared last year."
Related News Tags: Playtech, Mobile Gambling, Live Dealer, Betfair, Betfred, Ladbrokes, Paddy Power, William Hill