GAN revenue up 6% in H1 2017
US based online gaming company GAN have reported a 6% year-on-year increase it is group net revenues for the first six months of 2017.
In its first half-yearly financial filing, the firm reported H1 2017 group net revenues of £4.1m, rising from the previous £3.9m reported during the same period of 2016.
Company gross income increased year-on-year by 17% from £15.9m in H1 2016 to £18.6m in the first six months of 2017, while earnings before interest taxation depreciation and amortisation returned to positivity, posting an EBITDA of £24,000 rising from a H1 2016 loss of £0.5m.
Losses after tax have remained largely static but have dropped, from a H1 2016 loss of £2.3m to H1 2017 losses of £2.0m.
The US and Italy remain the key markets for the group, accounting for 63% and 31% of group net Revenue respectively.
GAN successfully completed its first debt issue earlier this year, raising gross proceeds of £2.0m during the second quarter of 2017, allowing the company to potentially grow further.
The firm already has an established business in Europe, licensing gaming content to operators including Bet365, Betfair PaddyPower, William Hill, Rank, Lottomatica, Sisal, SNAI and are set to expand into New Jersey having received a privileged gaming licence earlier this year.
In a statement, GAN CEO Dermot Smurfit said: “GAN generated positive clean EBITDA in H1 2017, following a substantial multi-year period of investment focused on the US land-based casino Industry. We anticipate this favorable EBITDA trend to continue throughout H2 2017.”
“The first half of 2017 saw continued growth in recurring revenues driven by the launch of five new clients of Simulated Gaming and strong growth in real money Regulated Gaming markets in the US and Europe.”
“We remain encouraged by the growth characteristics of Simulated Gaming and have already seen a major up-lift in player activity as we begin to experience the onset of the seasonally strong fall period.”
“As the numbers illustrate our Group has now moved into sustainable profitability at the clean EBITDA level. Growth prospects for Simulated Gaming™ and real money Regulated Gaming continues to offer the Company a viable path to creating significant incremental shareholder value.”
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