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Netplay Tv issues Profit warning
6/26/10 - The UK interactive television and AIM-listed gambling group NetPlayTV took a step back this week, issuing a profit warning following a "much lower than anticipated" take-up on its new BingoStars TV project.
The game is broadcast on major television channels including ITV’s television shopping channel, STV and Virgin One and has mobile technology to allow instant play 'on-the-go'.
In a market update, group chief executive Martin Higginson said it was “still very early days” for the product, which launched at the end of May (see previous InfoPowa report).
“This product is a more akin to our proven interactive gaming formats," a statement from the company said. “We have gained a vast amount of knowledge from our current successful and profitable media partnerships and we are using this knowledge to the full, both in terms of potential cost savings and customer playing habits.
“Early signs are more encouraging with customers depositing funds during the show as well as to the website the following day.”
However, the company noted that the switch from traditional games to an instant play model would have “a material impact on short-term profit performance,” and as a result the directors feel this will have a significant impact on full year market expectations.
“The initial costs associated with producing and trialing new gaming formats are high, although as we amend the model to be more in line with our proven formats we are able to reduce costs significantly with immediate effect,” the statement added.
NetPlay recently relocated to a head office in London and has operational bases in Guernsey in the Channel Isles and Bulgaria.
Industry observers said that the instant play mobile mechanism developed for the BingoStars interactive television format failed to deliver the revenues anticipated, and as a consequence NetPlay had dropped BingoStars from the ITV1, Virgin 1 and STV schedules on 21 June, replacing it with a format deploying more conventional game play.
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Gambling News :
Playtech Acquires ECM Systems -
Online gambling soiftware provider Playtech plc has announced the acquisition of a ninety percent stake in UK bingo software developer ECM Systems for a consideration of GBP 14.9 million.
Marks and Spencer store Manager steals to Gamblie Online -
The Cambridge News reports that a 28-year-old manager of a Marks and Spencer store, Martin Trenor, has been jailed for three years for stealing GBP 254,538.11 in shop takings over the course of a year and spending it almost immediately at online gambling websites.
Chinese Gambling crackdown could damage high roller revenue -
Fast-moving events this week have seen Australian media reports quoting hundreds of millions of dollars wagered by Chinese high rollers in Aussie land casinos, offset to some extent by Crown claims that this whale gambler" demographic generates only 12 percent of turnover.
EvenBet Open Face Chinese Poker -
Open Face Chinese Poker online games provider EvenBet has reported that its Open Face Chinese Poker product is gaining traction with games recently integrated for desktop action at the Malta-licensed operational site Poker Grant.
2016 EPT Malta -
The European Poker Tour is off to a good start in Malta, with German pro Dietrich Fast claiming a well-earned Euro 174,000 main prize in the Euro 10,000 buy-in Single-Entry Rebuy event.
Team Hot Launches -
#teamhot The Philippines licensed and GGNetwork-powered online poker operator Natural8 has announced the appointment to its "Team Hot" professional player line-up of Asian poker aces Kitty Kuo, Xuan Liu and Dong Kim.
Netent Q3-2016 Earnings Report -
#netent The UK continues to be an important growth driver but the weaker pound had an estimated negative effect of about three percentage points on revenue growth compared to the same quarter last year.
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