OPAP hails betting, VLTs as key financials rise

OPAP has cited strong performances by its betting products and video lottery terminals (VLTs) as key reasons behind financial growth in the third quarter.

Gross gaming revenue in the three months to September 30 totalled €357.4m ($422.1m), which is 11.9% ahead of the €319.2m posted in the corresponding period last year.

Net gaming revenue in Q3 climbed 13.4% year-on-year to €148.5m, while the total amount wagered by customers increased by 11.6% to €1.09bn.

Earnings before interest, tax, depreciation and amortisation (EBITDA) jumped 49% from €62.3m to €92.9 with a higher margin of 26%, compared to 19.5% last year.

In addition, net profit increased by 64.1% to €48.1m, while earnings per share for the quarter came in at €0.1513, which is 64.5% ahead of last year.

The third-quarter results will further boost OPAP’s overall financial performance in the full-year, with gross gaming revenue in the nine months through to the end of September amounting to €1.05bn, 4.8% more than at the same point in 2016.

Net gaming revenue increased 6% year-on-year to €433.7m, EBITDA remained almost level at €223.5m, while amounts wagered climbed 5.6% to €3.21bn.

However, net profit at the company is down 5.3% to €109m, with earnings per share also dropping 5.1% to €0.3429.

Damian Cope, chief executive of OPAP, said: “After a solid first half of the year, Q3 marked a return to meaningful growth in both revenues and profitability for OPAP.

“This growth was primarily driven by a strong performance from our portfolio of betting products, including SSBTs and Virtuals, and an increased contribution from VLTs.

“We continue to invest heavily in our products, our technology and our people in the delivery of our ‘2020 Vision’ and further progress has been made in each of our eight strategic objectives.

“These results are already demonstrating the early benefits of these investments and are also testament to the hard work and contributions from everyone in the OPAP team, both our employees and our agents.

“We have also been intensifying our efforts in the important areas of corporate and social responsibility, including further investment in responsible gaming policies and programmes, while also working closely with the authorities in the battle against illegal gaming.”

Cope added: “Looking forward, we have a particularly busy few months ahead with a number of important milestones for both our technology migrations and product rollouts, but remain confident that we will deliver on our objectives for FY17 and beyond.”

Related article: Instant, lottery games drive OPAP revenue growth in H1