Today, the international sports betting and gaming company GVC Holdings has revealed its audited financial results for the year which ended on December 31st, 2016. The Isle of Man-based company also provided information about its current trading results.
The company announced stable growth and praised the acquisition of bwin.party as one of the main reasons for its excellent performance over the twelve-month period. The pro forma results issued by GVC Holdings are presented as if the bwin.party brand had been acquired by the operator on January 1st, 2016.
The Chief Executive Officer of GVC Holdings Kenneth Alexander commented on the company’s performance over the period, describing the purchase of bwin.party in February last year as the operator’s “most ambitious” acquisition so far. He also commented that the company was focused on providing diversified offerings to its customers around the world and making improvements in its proprietary technology.
Mr. Alexander gave his assessment of the organic growth generated over the year 2016 and said that was a great opportunity for the operator, which remained confident that the registered growth will continue in 2017, too.
GVC Holdings revealed that its pro forma Net Gaming Revenue (NGR) rose by 9% from €822.2 in 2015 to €894.6 million. On constant currency basis, the registered increase amounted to 12%.
The sports wagers announced by the company also rose, with the increase being 4%, or 7% on constant currency basis. The pro forma sports wagers of the company in 2016 amounted to €4.55 billion in comparison to €4.39 billion for the prior year period.
GVC Holdings also provided information about its revenue and clean EBITDA in 2016. The revenue of the sports betting and gaming operator rose by 8% (12% on constant currency basis), reaching €873.2 million at the end of December 2016. In comparison, the pro forma revenue generated a year earlier amounted to €807.9 million. Then, the company revealed its pro forma clean EBITDA (earnings before interest, taxes, depreciation and amortisation), saying that the latter soared by 26% from €163.2 million to €205.7 million.
The adjusted profit before tax of the company reached €93.8 million in 2016, while a year earlier it amounted to €46.4 million.
Apart from the purely financial results for the twelve-month period ended on December 31t, 2016 GVC Holdings provided some operational highlights of the overall performance of the company in 2016. As mentioned above, the operator praised the successful integration of bwin.party. It also invested money and efforts in order to improve its product offering as well as platform stability.
GVC Holdings also shared that it managed to improve its sports win margin in comparison to the one of 2015, and experienced an increase in the pro forma net gaming revenue in its sports labels. As mentioned above, the operator also provided details about its current trading, saying that its pro forma daily net gaming revenue has increased by 15% over the first fiscal quarter of 2017. A 18% increase was registered in the company’s pro forma daily sports labels net gaming revenue, while the increase in the pro forma daily games labels NGT amounted to 6%.
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Olivia Cole
