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Good 4th Quarter for Playtech

1/26/10 - Online gambling software developer Playtech plc has unveiled an impressive set of Q4 numbers in its trading update this week, revealing that:
 
* Gross income up 23 percent at Euro 137.3 million for the 12 months to 31 December 2009 (2008: Euro 111.5 million)
 
* Gross income up 21 percent at Euro 38.5 million for Q4/09 (Q3/09: Euro 31.9 million), reflecting strong growth in activity and supported by 'particularly encouraging performance' from casino, Italian poker, and WHO share of profit
 
* Total revenue of Euro 30.4 million for Q4/09, representing an increase of 10 percent on the Euro 27.7 million in Q3/09 (Q4/08: Euro 31.5 million) and making full year revenue for 2009 of Euro 114.8 million, up 3 percent vs 2008 in an economically difficult year.
 
* Casino revenues for Q4/09 totaled Euro 20.7 million, up 12 percent; Poker revenues for Q4/09 totalled Euro 8.4 million, up 3 percent
 
* Share of profit in William Hill Online joint venture of Euro 8.1 million, up 94 percent in Q4/09 compared to Euro 4.2 million in Q3/09, and making its first full year contribution of Euro 22.5 million 
 
The trading update comes ahead of the company's plan to announce final results on 17 March 2010.
 
Operational highlights included:
 
* Daily activity up by 7 percent in first 3 weeks of January, over Q4/09 daily average
 
* Several new licensees launched their operations in Q4/09 including: Betfair (casino); Netplay (TV gaming) and Serbian Lottery (casino & poker)
 
* Good contribution from licensee slot activity from branded games launched in Q4/09, including Incredible Hulk and Iron Man
 
* New license agreements in various regulated markets such as Sega; GTS announces license agreement with Virgin Games, the first since its acquisition in December
 
* Landmark strategic alliance with Scientific Games (SG) of the US announced to focus on B2G opportunities in regulated markets, giving Playtech a significant worldwide lottery market exposure
 
* Videobet's related software agreement with SG's Global Draw makes it the leading supplier to the UK's FOBT games terminal market and brings critical mass to its operations
 
* Acquisition of leading games platform developer, GTS in December 2009 delivers open-platform technology, large games library and 15 market-leading sportsbook licensees
 
* World Lottery Association associate membership granted, enhancing Playtech's reputation in regulated markets around the world
 
Commenting on the KPI's Playtech's chief executive, Mor Weizer, said:
 
"The fourth quarter was a solid quarter with strong increases in all business areas. This strong performance has continued in the first three weeks of the year. The Board is very comfortable with market expectations for the year ended 31 December 2009 and looks forward to 2010 with confidence as another significant year of development."



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