The Isle of Man-based online gambling company GVC Holdings Plc released a trading update for its results over the third financial quarter as well as a special dividend announcement.
The Chief Executive Officer of the international gaming and sports betting company Kenneth Alexander shared that the gaming operator expected to start paying dividends earlier than initially planned. He said that the company’s shareholders had always supported the operator, so it was a real pleasure for GVC to be able to reward them with their dividend ahead of schedule.
Mr. Alexander also revealed that trading over the three month period continued to be positive thanks to the strong performance of the company’s brands in the regulated markets, as well as the fact that its high-quality technology had been received well by the customers, which presented GVC with many new challenges and opportunities for growth.
Apart from the dividend announcement, GVC Holdings also provided its third-quarter results. The total net gaming revenue of the operator over the three months ended on September 30th amounted to €221.5 million, after increasing by 12% from €198.3 million in the same period a year earlier.
The net gaming revenue generated from games and other daily activities also posted a massive increase of 12%. In 2016 Q3 it was estimated to €2,407.
In addition, Isle of Man-based GVC Holdings revealed that its sports gross win margin amounted to 10.5%. In comparison, the sports margin over the same quarter a year earlier was estimated to 9.3%. The sports wagers amounts increased by 3% on year-on-year basis from €11,078 in 2015 Q3 to €11,394 in 2016 Q3.
The dividend that is to be paid by GVC Holdings to its investors amounts to 10 euro cents per share. It is expected to be paid in February 2017. In 2016, the company agreed to take a dividend payment holiday as part of the terms of the loan facility of €400 million related to the takeover of bwin.party digital entertainment plc. At the beginning of August, GVC Holdings revealed that a new agreement with Nomura International is to replace the already existing financing of the company. Under the deal, a new unsecured loan of €250 million was provided.
- Author
Olivia Cole
