hird quarter highlights
Casino revenue up 2% to 34.9 million euros, compared to 34.2 million euros last year, driven by content and jackpot improvements on PartyCasino. Besides, poker revenue decreased down 5% to 29.6 millin euros, while in 2009 the revenue was 31.3 million euros, with continued pressure from US-facing sites partially mitigated by growth in newly regulated markets.
Bingo revenue up 36% to 13.1 million euros (while in 2009 was 9.6 million) driven by the acquisition of Cashcade Sports Betting revenue up 86% to 5.4 million euros (while last year was 2.9 million euros) on the back of both increased turnover and gross win margins.
Current trading improving on the back of seasonality, in-line with expectations
Bwin merger proceeding as planned; Simon Duffy confirmed as Chairman-elect of the merged company.
Commenting on today’s announcement, CEO Jim Ryan said: “Total revenue was up by 9% year-on-year with growth in all products except poker, despite the impact of having closed our French casino business at the end of June 2010. Excluding French casino, total revenue would have been up by 12% year-on-year, driven by casino growth in other markets, acquisitions and a strong performance in sports betting.”
He added: “We have been encouraged by the strong start from our nascent French poker network that went live on 1 July 2010. A strong performance by PartyPoker in France has been further boosted by the launch of PMU’s poker business in France as well as services for AB Groupe and Aviation Club de France.”
“I am also pleased to report that the proposed merger with bwin remains on track to complete at the end of Q1 2011, subject to regulatory and shareholder approvals and I am delighted that Simon Duffy has agreed to become Chairman of the Enlarged Group on completion, as detailed in a separate press release issued today,” he concluded.
On current trading he added: “In respect of current trading since the end of September, we have begun to see the normal seasonal upturn, in-line with the Board’s expectations, and we remain confident about the full year outlook.”
The group delivered a solid year-on-year performance in what is typically the softest quarter of the year. Factors affecting performance in the period included the transition to a regulated market in France, solid casino growth in other markets, a full contribution from Cashcade and strong growth in sports betting. As a result, consolidated average net daily revenue, excluding network services and WPT, rose by 6% to 901,800 euros (2009: 848,300 euros). Including network services and WPT, average net daily revenue rose by 9% to 927,600 euros (2009: 851,600 euros).
The company continued to grow its consolidated player base with 212,500 new sign-ups added during the quarter (2009: 208,000), a 2% increase over the prior year. The closure of the French casino and a competitive poker market meant that while bingo and sports betting each delivered year-on-year increases in both active player days and daily average players, on a consolidated basis both metrics were flat versus the prior year. Yield per active player day increased by 7%, with increases in each product vertical versus the prior year.
Revenue from the World Poker Tour was flat versus the previous quarter at 1.7 million euros whilst revenue from Network Services almost doubled to 0.6 million euros.