8th Oct 2015 07:32
LONDON (Alliance News) - GVC Holdings PLC Thursday said trading has been strong in the nine months to September 30 and said it is "highly confident" on the outlook for the rest of the year, as it prepares for its takeover of Bwin.Party Digital Entertainment PLC in early 2016.
The sports betting and gaming group said total net gaming revenue grew 11% in the nine months on the same period the year before, averaging EUR670,000 per day. By sector, net revenue from gaming excluding sports increased 18% to an average of EUR356,000 per day from EUR302,000, as net revenue from sports rose 3% to an average of EUR314,000 per day from EUR306,000.
Wagers rose to an average of EUR4.5 million per day, a 15% increase on the EUR3.9 million average of the comparative period, and customer deposits grew 14% year-on-year.
GVC's gross win margin decreased, however, to 9.2% from 10.1%.
The company will pay a second interim dividend of 14 cents.
GVC added that it expects its takeover of Bwin.Party to complete in early 2016. It is buying its larger FTSE 250-listed rival for 25 pence in cash and 0.231 GVC shares per Bwin share, valuing Bwin at around GBP1.12 billion, or 129.64 pence per share.
"I am delighted to announce another record revenue performance for the period. Wagers, NGR and customer deposits all continue to grow strongly. The board is highly confident about the outlook for the remainder of the year and into 2016. As we continue to deliver value through organic growth and acquisitions, we are determined that the enlarged group will play an important role in the consolidating online gaming sector," Chief Executive Kenneth Alexander said in a statement.
Shares in GVC were trading up 0.6% at 421.50 pence early Thursday.
By Karolina Kaminska; [email protected] @KarolinaAllNews
Copyright 2015 Alliance News Limited. All Rights Reserved.
Related Shares:
GVC.LBPTY.L