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Entraction Gambling Software Sales Decline

First half 2010 results disappoint

Internet gambling software developer Entraction Holding AB reported weak first half results this week, with net sales showing a 22.2 percent year-on-year decline to $23.971 million.

The company pointed out that excluding the performance of its CardRoom2 network and currency fluctuations, the decline was actually only 6 percent but admitted that Q2 net sales dropped 26.6 percent year-on-year to $10.605 million.

EBITDA for H1/2010 came in at $2.745 million, a decline of 40.1 percent over the same six-month period in 2009, while operating profit amounted to $1.853 million, a drop of some 49.8 percent year-on-year.

The firm revealed that its profits after tax for the first half of 2010 were $1.947 million, diving from last year’s $6.533 million, while cash flow from operations before changes in working capital amounted to $2.529 million, down from 2009’s $4.221 million.

“The gaming sector finds itself in a challenging period and it is important that we maintain good profitability if we are to develop successfully,” said Peter Astrom, Chief Executive Officer for Entraction.

“With this in mind, we are initiating a cost programme and prioritising areas with fast revenue streams and effects on our poker liquidity. The turbulence and consolidation we are seeing in the gaming sector place us, as an independent supplier and owner of one of the world's largest poker networks, in a unique position as poker operators now look round for alternatives.

“The second quarter is traditionally a weak season and this year our income has also been negatively affected by the 2010 FIFA World Cup. Our royalty income from poker is increasing steadily and we see continuing positive development for our business model as a supplier of technology for poker. We are maintaining good liquidity in our poker network and see many opportunities to achieve growth in the number of players.

“Our second quarter sales and profits were lower than in the same quarter for the previous year. In response, we are taking immediate action to break the trend and return to good profitability. As part of an action programme, we may be moving certain functions to our subsidiary in Estonia and also reviewing staffing in general.

The cost savings are expected to have an impact of $2.029 million on earnings on an annual basis and a positive effect of $3.382 million on cashflow. The associated cost will be approximately $676,351 and it is our intention to implement the measures during the third quarter in order to obtain the full effects in the fourth quarter.

“Several markets in Europe have stated that they will be regulating their gaming markets and, so far, this has actually come into force in Italy and France. Last year, we announced our intention to establish Entraction in Italy when the Italian authorities begin to allow poker cash games and casino. This was scheduled for the beginning of this year but, sadly, has been postponed on several occasions by the Italian authorities."



Gambling News :

Alegriabet Finally Launches - Our online betting site will deliver a full, market-leading suite of services including pre-match and live betting as well as virtual sports

International Table Tennis Federation in deal with Sportradar. - The International Table Tennis Federation (ITTF) has today announced it has signed a brand-new integrity partnership with Sportradar utilising the organisation’s world-leading monitoring, intelligence and prevention solutions to help safeguard the sport against match fixing.

NBA odds on Thunder vs. Pacers Game? - This Wednesday night in Indianapolis, Paul George is due to play his first game at the Fieldhouse as a member of the Oklahoma City Thunder (12-13 SU, 8-17 ATS). But George might not face the Indiana Pacers (15-11 SU, 16-10 ATS); he’s listed as day-to-day with a right calf contusion. Tip-off is at 7 PM ET on ESPN.

2 New Christmas Slots For Microgaming - Microgaming’s jolly game additions this December. Microgaming adds two more games to kick off the festive season, in addition to its action-packed Highlander online slot.

SportsBetting Supreme Court Showdown - Sports Law, Betting and Integrity leaders convene to preview Supreme Court Showdown. Thought leaders weigh in on Christie vs. NCAA (which in January will shift to Murphy vs. NCAA)

Mega Moolah Progressive Slot Pays Again - On 15 November 2017, the Mega Moolah jackpot was won by a Grand Mondial Casino player. They took home €938,306.35.

Microgame S.p.A. in deal with Prima Networks - Prima Networks, powered by Microgaming, has signed a deal with Microgame S.p.A., the leading Italian gaming service provider.

NBA Odds: Heat Can Burn Cavaliers in Cleveland - The Cleveland Cavaliers (12-7 SU, 6-12-1 ATS) may have turned their season around, but they’ve got a challenging matchup this Tuesday against the Miami Heat (9-9 SU, 7-9-2 ATS), tipping off at 7 PM ET on NBA-TV. Miami is 7-4 SU and 6-5 ATS against the Cavs since LeBron James went back to Cleveland in 2014.

Games Concept Day in Malta - The Quickfire Games Concept Day is the second full-day workshop to date, the first being held in Gibraltar in July.

AFC’s fight against match-fixing - The Asian Football Confederation (AFC) has introduced a new AFC integrity mobile application, which will enable fans, players and officials to report possible suspicious activities or provide information concerning match-fixing or corruption to the AFC Integrity Unit.

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