GVC Holdings grows net gaming revenue by 23pc over the year

 
Ollie Gordon
UK GAMING operator GVC Holdings yesterday reported a 23 per cent net gaming revenue (NGR) rise in its pre-trading update for the year ended 31 December.

The Isle of Man-based firm saw its NGR for 2014 finish on €224.6m (£175.3m). It also experienced sports margins of 9.8 per cent, a small rise on the 9.6 per cent of the previous year.

GVC, which supplies both business-to-business and business-to-consumer markets, finished the year well, reporting record levels of sports turnover in the fourth quarter: sports wagers exceeded €400m, an 11 per cent gain on the same period of the previous year, and a nine per cent rise on the third quarter of this year.

The company – whose core brands include CasinoClub, Betboo and Sportingbet – also had a NGR of €59.4m in the fourth quarter, a 22 per cent boost on the same period of 2013.

GVC’s chief executive Kenneth Alexander said: “I am delighted today to announce another strong quarter and full-year for revenues, along with a 12.5 cents per share third interim dividend, one cent per share (8.7 per cent) higher than the same period in the prior year.

“2014 has been an exciting and successful year with the group now in a strong position to further its growth. The continued success and growth of the group is a result of the tremendous efforts from the talented and motivated staff we have at GVC, all of which have bonus plans aligned to the level of dividends paid to shareholders.

“We look forward to providing the market with a more detailed update when we report the group’s preliminary results in March.”

Cenkos Securities reiterated its buy option for the company, stating GVC is its “cheapest and highest yielding in our gambling universe”.

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