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PLAYTECH RELEASES POSITIVE Q2/2010 TRADING UPDATE

Internet gambling software development group Playtech plc has released a trading update covering the three months ened June 30 2010.
 
Financial highlights in the report include:
 
* Gross income for the quarter totalled Euro 44.5 million, up 34 percent on Q2/09 and 2 percent ahead of Q1/10
 
* Total revenues up 32% on Q2/09 and 2% on Q1/10 to €36.8 million
 
* Casino revenues up 34 percent on Q2/09 to Euro 24.9 million, 3 percent higher than Q1/10
 
* Poker revenues down 13 percent on Q2/09 to Euro 7.3 million and 15 percent lower than Q2/10, owing to the impact of the Football World Cup and 'slow' summer seasonality effect
 
* Bingo revenues totalled Euro 2.8 million, 61 percent up on Q1/10, reflecting increasing the contribution from recently acquired Virtue Fusion
 
* Share of profit in William Hill Online of Euro 7.6 million, up 43 percent on Q2/09 and up 4 percent from Q1/10
 
* H1 2010 EBITDA expected to be not less than  Euro 53 million.
 
Management reports that daily activity for first the 26 days of Q3/10 is more than 10 percent ahead of Q3/09 on an absolute basis and more than 20 percent ahead of Q3/09 on a like for like basis, excluding France.
 
Activity declined by 12 percent compared to Q2/10 on the same like for like basis reflecting the combined impact of the closing stages of the football World Cup and normal seasonal slowdown. On an absolute basis, including France, Q3/10 is 19 percent below the daily average of the previous quarter.
 
Recent initiatives include the launch of a new Italian bingo network with SNAI and Eurobet, two of Italy's leading gaming companies, which will be joined by additional members in the near future.
 
Operational highlights include:
 
* Italian Bingo commenced with Sisal which gained 18 percent market share in May. 
 
* The company won the contract for Finland's RAY in May, and launch preparations are reportedly going well for a launch in Q4
 
* Playtech launched its dedicated French poker network launched with a number of well-established local operators, and it is anticipated that further licensees will join in Q3.
 
* Recent acquisitions Virtue Fusion and GTS are performing ahead of expectations after a good Football World Cup, with new licensees and games launched
 
* The Videobet UK roll-out is on track with large shop-tests progressing well.
 
Commenting on the key performance indicators, Playtech's chief executive, Mor Weizer, said: "The second quarter's performance continues our strong start for the year and provides a solid base for the full year. Operationally we are well positioned with significant licensee wins such as RAY in Finland and the launch of our new Italian bingo and French poker networks bringing a broad range of well recognised local operators. 
 
"I am pleased by the continuing growth of Virtue Fusion and GTS and together they will help to mitigate the closure of the French casino market which will be felt in the second half of the year." 
 
"The decline in current trading is in line with our expectations with sportsbook operators focusing on World Cup betting during the period, and is not anticipated to be a useful indicator of performance throughout Q3. We continue to see significant growth opportunities over the near and medium term."



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MLS Odds: Red Bulls vs. Whitecaps - The New York Red Bulls (12W, 12L, 7T) haven’t won a match since August 15, but they’re –165 favorites this Saturday against the visiting Vancouver Whitecaps (15W, 10L, 6T), beginning at 5 PM ET. Vancouver is a +475 underdog with the draw priced at +285.

Velka Pardubicka On RacingUK - Felix de Giles flies the British flag in Sunday’s Velka Pardubicka

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