PRESS RELEASE
Interim Results
25 September 2006
Gaming VC Holdings S.A. (AiM:GVC), a leading European online casino provider, today announces its Interim Results for the six months ended 30 June 2006.
Financial Highlights
- Interim revenue and profits in line with market expectations
- Revenues of €21.2 million show recovery to H1 2005 levels (2005: H1 €21.3 million H2 €19.2 million) as a result of direct mail marketing campaigns
- Gross profit of €15.7 million (2005: H1 €16.5 million H2 €14.3 million)
- Operating profit of €6.8 million (2005: H1 €11.2 million H2 €2.2 million)
- Profit before tax €6.7 million (2005: H1 €11.1 million H2 €1.2 million)
- Basic earnings per share €0.21 (2005: H1 €0.36 H2 €0.05)
- Soft launch of Russian language casino with Russian joint venture partner
- Increased marketing spend on poker
- September revenue below expectations
- Second half anticipated to be materially below expectations
- Recommended interim dividend of 13 pence per share (2005: H1 21 pence H2 21 pence)
Business Highlights
H1 2005 |
H2 2005 |
H1 2006 |
|
New registrations |
13,200 |
19,600 |
26,900 |
New depositing customers |
8,100 |
9,900 |
12,700 |
Daily average revenue |
€117,500 |
€106,350 |
€117,000 |
Commenting on the results, Steve Barlow, Chief Executive of Gaming VC, said: "Performance in the first half of 2006 was strong, however, as we anticipated the months of July and August have showed some seasonal weakness. In addition, due to unforeseen direct mail disruptions, combined with an extremely hot summer and post World Cup weakness, our Casino business has also been further impacted. Hopes for a September recovery have not yet fully materialised and therefore we believe that the outcome of second half is likely to be affected.
"In order to try and overcome many of these issues, the Group has continued its investment into alternate channels, games and territories, as well as strengthening the Board and the management team. As in the past, the Group will look to return excess capital to shareholders in the form of a dividend and the Board will continue to work hard towards delivering shareholder value for the full year."
The results are available to download in PDF format.
For further information:
Gaming VC Holdings S.A. |
|
Steve Barlow, Chief Executive |
Tel: +44 (0) 20 7398 7700 |
Media enquiries: |
|
Abchurch |
|
Henry Harrison-Topham / Franziska Boehnke |
Tel: +44 (0) 20 7398 7700 |
Notes to editors
Gaming VC is a key operator in the European online gaming sector, specializing in casino.
Gaming VC has no online operations in the US and does not transact any wagering activity on behalf of players in the United States.