OPENBET ACQUISITION BOOSTS NYX GAMING H1-2016 PERFORMANCE
30th August, 2016 at 08:11:47
Revenues soar in a strong first half, but acquisition costs weigh on profits.
Online gambling software and games developer and platform provider NYX Gaming released its Q2-2016 and H1-2016 results Monday, highlighting the following performances:
* Q2 revenue up 230% year-on-year to C$35.2 million;
* H1 revenue up 165.9% y-o-y at C$54.9 million, with management attributing much of the growth to the £270 million acquisition of the Openbet group.
* Organic revenue in Q2 up 28% at C$13.7 million, with royalty and licence revenue for the period totalled C$20.8 million.
* Q2 gross profit up 238.3% y-o-y at C$30.8 million; with margin up 2.3 points on the preceding year at 87.3 percent;
* H1 gross profit up 163.2% y-o-y at C$47 million, with margin slightly lower at 85.7 (H1-2015: 86.5 percent).
* Q2 adjusted EBITDA increased 313.2% year-on-year to C$10.5 million.
* H1 adjusted EBITDA up 224.6% to C$15.3 million;
* However, the high cost of acquiring Openbet weighed on profits, with Q2-2016 generating net C$29 million compared to net profit of C$13.9 million reported in Q2-2015.
* H1-2016 net loss was C$38.2 million, down from net profit of C$8.8 million during H1-2015;
* 11 new OGS and OPS partnerships signed during the half-year, along with the launch of 21 new clients.
It's been a busy year for NYX with the acquisition of Openbet £ 270 million) and games developer Betdigital (£24.5 million)
CEO Matt Davey said in his report that the company would now focus on integrating and improving its acquisitions, which have boosted group performance and diversity significantly.
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