Sportech cites ‘material change’ in 2017

Sportech has cited 2018 as a year of “significant opportunity” after announcing its results for the 12 months to December 31, 2017.

Revenue amounted to £66.3m (€75.7m/$92.4m), which is up from £64.8m in the previous year.

Gross profit climbed from £45.1m to £47.7m, while contribution, defined as gross profits less marketing and distribution costs, increased from £43m to £45.6m.

However, adjusted earnings before interest, tax, depreciation and amortisation dropped from £8.5m to £6.7m, while loss before taxation from continuing operations fell from a profit of £63.6m in 2017 to a loss of £23.2m.

Cash, net of customer balances at year-end, stood at £15.9m, compared to £36.5m at the end of 2016.

Andrew Gaughan, chief executive of Sportech, said: “2017 was a year of material change for Sportech and 2018 is shaping up to be one of significant opportunity.

“Our recurring revenue in our Racing and Digital business is further being enhanced by additional sales opportunities and commingling along with the growth in our Bump 50-50 business.

“We have an enhanced platform for growth in our Venues division; both should see benefit from a liberalisation of sports wagering in the US.”

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