GAN Loss Narrows In 2017 As Revenue Grows On US Expansion

29th Mar 2018 13:43

LONDON (Alliance News) - GAN PLC said Thursday its online gaming expansion in the US market helped annual revenue to rise, leading to the narrowed loss in 2017.

The gaming software and content supplier saw its first annual positive adjusted earnings before interest, tax, depreciation and amortisation since 2013, driven by a lengthy investment cycle in the US casino Industry. Adjusted Ebitda was up at GBP454,000, compared with loss of GBP932,000 the year before.

GAN posted a pretax loss of GBP4.2 million, narrowed from GBP5.2 million it made in 2016, supported by a 17% increase in revenue to GBP9.1 million from GBP7.8 million.

The growth was boosted by simulated gaming segment across the US and from real money gaming division in both New Jersey and Italy. During the year, the company launched five new casino clients for simulated gaming.

Real money gaming revenue rose to GBP5.0 million from GBP4.8 million, while simulated gaming revenue was GBP4.1 million, up 31% from GBP3.1 million the year earlier.

Looking ahead, GAN said its performance to date is in line with board's expectations.

GAN Chief Executive Officer Dermot Smurfit said: "We believe your company has developed considerable momentum in the US market and that the company is well-positioned to secure additional profitable opportunities from incremental US States which regulate real money internet gaming over time."

The stock was trading 1.8% lower at 27.00 pence per share on Thursday.

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