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2010 RECORD NET GAMING REVENUE FOR 32RED
Posted 3/8/11 : Net gaming wins increased by 33 percent driven by an increase in active player numbers
UK-based online gaming company 32Red Plc delivered its 2010 preliminary results for the 52 weeks ending 31 December 2010, this week.
The online casino operator attributes its strong trading performance primarily as a result of a 29 percent increase in revenues at the 32Red casino. This performance was supported by contributions from the Nedplay and Golden Lounge acquisitions made early in 2010.
An increase in marketing spend in 2010 yielded strong revenue growth and the company remains committed to further investment in marketing to drive growth during 2011. Investment will continue to be primarily focused on the United Kingdom online casino market but other 32Red products and services, along with careful expansion into new territories, remain part of 32Red's future growth.
Key fiscal and performance indicators include:
- Net Gaming Wins increased by 33 percent to GBP 16.95 million (2009: GBP12.75 million)
- Like for Like ('LFL')* Casino Net Gaming Wins increased by 29 percent to GBP14.83 million (2009: GBP11.54 million)
- Casino brands, Nedplay and Golden Lounge casinos, acquired during the year contributed GBP0.86 million to Net Gaming Wins
- Poker revenues down by 5 percent to GBP 0.92 million (2009: GBP 0.97 million)
- Bingo and emerging products revenues amounted to GBP 0.34 million (2009: GBP 0.24 million), up 42 percent
- EBITDA increase by 90 percent to GBP 1.65 million (2009: GBP 0.87million)
- Profit before tax increased by 98 percent to GBP 1.05 million (2009: GBP 0.53 million)
- Active LFL casino customers 30,933 up 23 percent on 2009
- LFL Casino player yield GBP 479 (2009: GBP 458)
- LFL New Casino players 21,853, up 14 percent on 2009
- High Court victory in trade mark litigation dispute with William Hill
(*Like for Like (LFL) financials exclude any contribution from casinos acquired during 2010.)
Commenting on the results Ed Ware, Chief Executive Officer, said: "The excellent performance in 2010 is particularly pleasing in times of continued economic uncertainty in our primary market, the UK. The recruitment of good numbers of new players and our improved customer retention are tribute to the strength of the 32Red brand and to the continued excellent levels of service and entertainment provided to our players.
"The 32Red brand has been further strengthened by our victory in the High Court in our trade mark dispute with William Hill. The Judgment which was handed down in January firmly establishes our Intellectual Property Rights and should deter other operators from infringing our trade marks. As highlighted by the judge, we have an excellent reputation as an online casino operator and a strong brand - these are extremely valuable assets in any marketplace.
"We will continue to focus the 32Red brand in the UK and maintain a close watching brief on regulatory developments in Europe and the Rest of the World.''
The company reports that January and February 2011 are up 29 percent on the corresponding period in 2010 with strong active player levels and improved player yields.
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Cavaliers Aim to Take Down Wizards on 2/22/18 -
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