GAN sees revenue and profit decline in first quarter

GAN has reported a year-on-year drop in revenue and profit for the first quarter, primarily due to the impact of the novel coronavirus (Covid-19) pandemic on the gambling software business.

Revenue for the three months to 31 March totalled $7.7m (£6.1m/€6.8m), down 19.8% from €9.6m in the corresponding period last year.

GAN noted that the previous year’s figure included $4.9m in other revenue as a result of both hardware sales and the licensing of GAN’s strategic US patent. It said these exceptional items in Q1 2019 contributed to the year-over-year decline.

Excluding these exceptional items, GAN said that revenue for the first quarter grew by 64.0%, driven by a 108.8% hike in real money internet gaming software as a service (SaaS) revenue and a 63.0% jump in real money internet gaming service revenue.

GAN also reported an increase in its US customer base, which in turn grew its business in the country, with the provider benefiting from more states passing laws to permit online real money gaming and sports betting.

Read the full story on iGB North America.