27th Mar 2025 09:25
(Alliance News) - Playtech PLC on Thursday said the sale of Snaitech was on track for the second quarter of 2025, as it reported a modest increase in annual sales.
The Isle of Man-based gambling software developer said revenue rose 4.7% to EUR1.79 billion in 2024 from EUR1.71 billion in 2023.
But earnings before interest, tax, depreciation and amortisation fell 12% to EUR358.8 million from EUR406.5 million.
On an adjusted basis, Ebitda rose 11% to EUR480.4 million from EUR432.3 million.
Playtech said performance was driven by strong momentum in business-to-business and good operating leverage.
Adjusted Ebitda in the B2B division grew 22% to EUR222.0 million in 2024 from EUR182.0 million a year prior, reaching the medium-term target range of EUR200 million to EUR250 million set two years ago, ahead of schedule.
The Americas was the biggest driver of growth in B2B, with revenue up 19% to EUR251.6 million from EUR211.9 million.
Shares in Playtech were 0.4% higher at 736.00 pence each in London on Thursday morning.
In September, Playtech announced the EUR2.3 billion sale of its Italian operation Snaitech to Paddy Power-owner Flutter Entertainment PLC.
On completion, which is expected in the second quarter of 2025, Playtech intends to return EUR1.7 billion to EUR1.8 billion to shareholders by way of a special dividend.
Playtech will then focus on being a B2B company.
The firm said continuing operations, excluding Snaitech, delivered revenue of EUR848.0 million in 2024, up 10% from EUR771.9 million in 2023.
Ebitda fell 16% to EUR127.7 million from EUR152.0 million.
The company reported a good start to trading in 2025, reflecting strong underlying growth trends in B2B, it said.
Playtech announced new medium-term targets for the continuing business of adjusted Ebitda between EUR250 million to EUR300 million. It is targetting a free cash flow range of EUR70 million to EUR100 million.
Chief Executive Mor Weizer said: "2024 was a landmark year for Playtech. We successfully reached an agreement to sell Snaitech to Flutter Entertainment, delivering significant value to our shareholders while enabling Playtech to refocus predominantly on its core strengths as a pure-play B2B business.
"The combination of Playtech's industry-leading technology with its exposure to attractive markets underpins our confidence in the group's new medium-term targets."
By Jeremy Cutler, Alliance News reporter
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