GVC hails ‘significant’ progress in 2017 as key financials rise
GVC Holdings has reported widespread growth across a number of key financials for the 12 months to December 31, 2017.
Net gaming revenue for the year amounted to €925.6m ($1.14bn), up 17% on its pro forma result of €794.3m in 2016.
GVC’s pro forma results are based on the assumption it completed the purchase of bwin.party on January 1, 2016, rather than February 1, 2016.
Net gaming revenue including discontinued operations hiked 13% year-on-year from €894.6m pro forma to €1.01bn, while revenue was also up 16% on a pro forma basis from €772.9m to €896.1m.
Elsewhere, clean earnings before interest, tax, depreciation and amortisation (EBITDA) climbed 40% year-on-year on a pro forma basis to €239.5m, while clean EBITA including discontinued operations was also up 33% to €274.2m.
Adjusted profit before tax was up 182% year-on-year to €178.7, while net debt was cut from €121.1m to €108.6m.
In addition, adjusted earnings per share jumped from €0.19 to €0.56, while the same figure including discontinued operations was up €0.31 to €0.66.
Kenneth Alexander, chief executive of GVC, said: “GVC achieved a significant amount in 2017 and as these numbers demonstrate, we have delivered material value from the bwin.party acquisition.
“It is particularly pleasing that we have been able to produce such strong results at the same time as completing the integration of bwin.party and continuing to enhance our product offering.
“Our core markets offer attractive growth prospects but we also recognise the opportunity presented by our proprietary technology to create significant synergies through M & A.”
Confirmation of the results comes after GVC yesterday (Thursday) moved a step closer to completing its acquisition of Ladbrokes Coral Group after shareholders voted overwhelmingly to support the deal.
Subject to various approvals, the merger should go through on March 28.
“The importance of geographic diversification is also a key dynamic given the evolving regulatory backdrop,” Alexander said.
“Thus the acquisition of Ladbrokes Coral Group represents an exciting opportunity, bringing together industry leading online and retail brands.
“There will be plenty of hard work ahead, but we are confident that GVC will deliver once again.”
Related articles: GVC shareholders back Ladbrokes Coral acquisition
GVC expects revenue growth in 2017 after record Q4