Newgico turns a profit despite increased gaming taxes

Business News

Newgioco Group saw its gaming revenue pick up in its most recent nine-month reporting period and turned a profit from operations in the third quarter, thanks to a surge in sports betting.

In the nine months handle reached $352.2 million up 26.5% compared to $278.5 million. Gross Gaming Revenue slight increase of 3.3% to $28.3 million compared to $27.4 million, despite the impact on Gross Gaming Revenue of the significant prior year global sporting events.

Michele Ciavarella, Newgioco Chief Executive Officer stated, “our 2019 third quarter results were stronger than expected considering there were no major summer soccer events that traditionally drive our European sports betting operations through the second and third quarters of each year. Keeping with our commitment to stockholders, we returned to positive net profit from operations, narrowly within two quarters after a wholesale change in our corporate board and direction, with strong momentum headed into the fourth quarter of 2019.

We also made considerable progress in corporate initiatives during the third quarter including filing our S-1 registration statement related to our plans to list our shares on the NASDAQ Stock Market. We continue to grow our total gaming handle, generating 26.9% year-over year growth, exceeding $350 million, and keeping us on pace to achieve our outlook and reach $500 million in handle for the full year.”

RECOMMENDED