GVC reports steady H1 revenue growth; FOBT stake cut less impactful than expected

GVC Holdings generated net gaming revenue (NGR) of £1.8bn ($2.18bn) for H1, a 61% increase year-on-year in reported group revenue and a 6% rise in pro forma revenue.

GVC Holdings up

Gross profit was £1.1bn, a 55% rise in reported results (which do not include that of Ladbrokes Coral, which was acquired in March 2018) and a 2% pro forma rise.

Underlying EBITDAR for H1 was £376.8m, an increase of 47% reported but 7% fall pro forma.

In its first financial report since maximum stakes for fixed-odds betting terminals (FOBTs) in the UK dropped from £100 to £2, the operator said it was ahead of expectations and only experienced a 10% decrease in UK retail NGR.

Kenny Alexander, GVC CEO, said: "Our online operating model is proving highly effective, building on the sustainable competitive advantages of our wholly owned technology platform, leading product, cutting-edge marketing, leading brands and local execution.

"In UK retail, efficient execution of mitigation plans resulted in a Triennial Review impact that was better than initial expectations, with like-for-like NGR 10% behind last year, prompting a further upgrade to our Triennial Review EBITDA guidance."

The CEO said GVC’s joint venture with MGM Resorts International, Roar Digital, remains on track for a September launch in New Jersey and highlighted GVC’s responsible gaming commitments made in the first half of the year.

GVC's share price has risen around 15% in light of its trading update, to £5.62.

Premium+ Connections
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
 
Premium
 
Premium
 
Premium
 
Premium Connections
Consultancy
Executive Profiles
Live! Casino & Hotel Maryland
Mohegan
Mohegan Inspire
DraftKings
Follow Us

Company profile: Growe Partners

Dominate the Sports Betting Affiliate Arena with Growe Partn...

Company profile: GR8 Tech

The sportsbook provider discusses turning sportsbooks into a...

Analysing sports betting data from the African Cup of Nations 2024

Sports betting supplier Betby provides Gambling Insider with...

LiveScore Group: Football’s changing relationship with fans

Gambling Insider delves deeper into LiveScore’s Evolution...