Online casino content supplier Gaming Realms says a strong first half performance leaves the business well-placed to beat market expectations for revenue and earnings in 2020.
Ahead of Gaming Realms’ full results release for the six months to 30 June on 8 September, it revealed that revenue for the period grew 61.3% to £5.0m (€5.5m/$6.6m), aided by the expansion of its client base and the roll-out of new Slingo-branded games.
The first half saw the supplier sign up the likes of DraftKings, Sky Betting & Gaming and 888 as clients, as well as integrating with content aggregation platform providers such as SkillOnNet, Bragg Gaming’s Oryx, Jumpman Gaming and SoftGamings.
A range of Slingo titles, including Slingo Centurion in partnership with Inspired Entertainment, were also rolled out during the period.
Gaming Realms noted that revenue growth was aided by countries going into lockdown as a result of the novel coronavirus (Covid-19) pandemic, prompting players to look online for entertainment. However, it noted that trading during the seven weeks following the end of H1 – after lockdown restrictions were eased – was yet to see much drop-off in activity.
This helped the company generate adjusted earnings before interest, tax, depreciation and amortisation of around £1.2m, compared to a loss of £0.1m for the first half of 2019.
The supplier therefore expects revenue and EBITDA for the 12 months to 31 December to come in “materially ahead of current market expectations”. In 2019, Gaming Realms generated revenue of £6.9m, up 11.3%, though it posted a £781,745 loss before interest, tax, deprecation and amortisation, though rising costs led to the business posting a loss of £5.7m for the year.
The company is also on the hunt for a new chief executive, after Patrick Southon stood down from the role in February this year. Michael Buckley has taken on the role of executive chairman until a replacement is found.