32Red confirms record revenue in final full-year results
32Red has said that it was able to achieve record revenue during the 12 months through to December 31, 2015, despite having had to contend with “significant external regulatory and tax headwinds”.
Full-year net gaming revenue amounted to £48.7 million (€63.1 million/$69.2 million), which represents an increase of 52% on the previous year.
The amount is the same figure revealed by 32Red in a trading update in January, with the online operator now also confirming other key financial results for the 12-month period.
Earnings before interest, tax, depreciation and amortisation (EBITDA) dropped from £5.4 million in the previous year to £5.2 million in 2015, although the firm noted that this was mainly due to the introduction of the point of consumption tax in the UK.
Before point of consumption tax, underlying EBITDA amounted to £11.2 million, an increase of 76% on the previous year, while underlying EBITDA post point of consumption tax dropped 3% year-on-year to £6.4 million.
Adjusted earnings per share fell 2% to 6.97 pence, although the firm was able to offer a full-year dividend of 2.8 pence, 17% up on the previous year, while cash balance at the end of the 12-month period was up 45% year-on-year to £10.3 million.
Ed Ware, chief executive of 32Red, said: “2015 was a very exciting and indeed record-breaking year for 32Red, achieved despite significant external regulatory and tax headwinds.
“These results are an excellent demonstration of 32Red's core strengths – a talented and dedicated team, first class ROI-driven marketing skills and established, highly-appealing online gaming brands.
“The acquisition of the Roxy Palace business in July complements the strong organic growth delivered in the core business as we exploited targeted marketing opportunities and attracted new customers to the 32Red brand.
“Marketing expenditure will be increased again in 2016. We are well positioned for another year of progress, building on the excellent achievements in 2015.”
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