GVC revenue increases 1% for Q1 despite coronavirus pandemic

By Iqbal Johal

GVC Holdings has reported a rise in revenue for Q1 2020, despite the impact the coronavirus outbreak has caused on its business.

Group net gaming revenue (NGR) increased 1% year-on-year, with online NGR rising by 16%, for the first three months up to 31 March.

While original projections in March suggested EBITDA would result in a £100m ($123m) monthly drop due to the impact of the coronavirus outbreak on sports betting, in its trading update, the operator now expects that figure to be £50m.

As a result, the group is hopeful further cost action will allow it to reduce cashflow to break even, from the current monthly figure of £15m. However, uncertainty has led to the operator withdrawing its second dividend payment that was due on 23 April.

GVC CEO Kenny Alexander said: "While our global product diversification is standing us in good stead during the current uncertainty, the COVID-19 pandemic is posing an unprecedented challenge to our business and industry.

"I am confident we will emerge from this period in a position of strength and we will be well placed to take advantage of a range of attractive growth opportunities which we believe will be available to us."

Last month, GVC reported a 2% yearly rise in pro forma group NGR, to £3.66bn for 2019, and in response to the Betting Gaming Council’s 10-point action plan to protect players during lockdown, the operator introduced its own range of responsible gambling safeguards.

TAGS:

Share This Post


NEWS SPONSOR

More News

Leading provider Continent 8 Technologies is sponsoring the American Executive of the Year Award at the Global Gaming Awards Las Vegas 2020. The Executive of the Year is the only category that...




Ethan Brunso, digital media expert at Delasport, discusses esports: The rise of a billion-dollar industry that is quickly turning into a new driving force for local economies, as well as the...