Online gaming equipment manufacturer Novomatic AG has reported record year-on-year sales growth of 11.3% in the first six months of 2017.
In its first half yearly financial filing of 2017, the firm reported revenue of €1.22bn in the six months leading up to June 30th with an increase in the number of self-operated sites from the previous 1,800 to a figure of 2,100.
The growth in group sales which occurred during the first half of the year was primarily driven by acquisitions made in the German and Spanish gaming markets which included the Casino Royal Group in Germany and Basque Gaming in Spain. The number of operated gaming machines also achieved a new record, increasing by 9,000 to a total of 70,700 machines worldwide.
Company earnings before interest, taxation, depreciation and amortisation dropped year-on-year by 1.6% during the first half of 2017, to €282.5m while operating profit for the period declined by 26.3 percent year-on-year to €104.2 million. Novomatic also reported that its net profits had decreased year-on-year to €56.1 million for the six months to June 30, down by 25.7%.
In a statement accompanying these figures, Novomatic said that these lower than average figures were “due to higher scheduled depreciation and impairment.”
Novomatic CEO, Harald Neumann added: "These future-oriented investments ensure the strong position of NOVOMATIC in the global market for the long-term,"
"The current half-year figures with record sales show that we are on the right track with our international growth strategy. This is also exactly what we will pursue in the future.”
Despite the decline in its profits, Novomatic also confirmed that it was on track to deliver on its 53% acquisition of Australian gaming company Ainsworth Gaming Technology later this year following what it called “the required approvals by various international licensing and regulatory authorities.”