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INTERIM PROFITS UP AT GVC HOLDINGS
Thursday, September 29, 2011 : H1 interims show useful improvements
The Isle of Man-based online gambling group GVC Holdings plc has announced its interim results for the six months ended 30 June 2011.
Interim highlights include:
*Betboo - rapid growth with Net Gaming Revenue ("NGR") up 140 percent
*7 percent increase in revenue from core Casino Club brand
*Group operating profit up 80 percent at Euro 3.6 million
*Profit before tax increased to Euro 2.5 million (H1-2010: Euro 1.5 million)
*Robust Q3 trading NGR 15 percent ahead of corresponding period last year
Commenting on the results, chief executive Kenneth Alexander, said:
"As previously announced, the group is in discussions with Sportingbet plc to acquire their Turkish language sportbook and gaming offering. In light of these discussions it would be inappropriate for GVC to comment on this potential transaction until it is either put to shareholders for their approval, or talks with Sportingbet cease.
"Trading remains encouraging against a backdrop of challenging economic conditions and we remain cautiously optimistic about our prospects for the rest of the year."
Alexander said that the group’s successes in H1-2011 include:
*Expansion of the Betboo brand as a result of increased marketing investment has seen Betboo NGR increase by 140 percent to Euro 5.2 million (H1-2010: Euro 2.2 million)
*Resilient performance by Casino Club, the group's core German casino with NGR increasing by 7 percent to Euro 14.6 million (H1-2010: Euro 13.6 million)
*Revision of the Betboo earn-out to spread the cash payments over a longer period
*Group operating profit up 80 percent to Euro 3.6 million (H1-2010: Euro 2 million)
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