Excellent first half for Gamesys Group

Business News

Gamesys Group announced excellent results for the first half of 2020, driven by a big increase in customer growth in the Asian markets as well as solid customer retention.

Gamesys, which operates online bingo and casinos under the Virgin, Jackpotjoy and Rainbow Riches brands, saw revenue double to GBP340.0 million from GBP169.5 million a year before.

The jump in revenue reflected a strong performance in all of the company’s brands, with growth actually accelerating over the second quarter. The company also saw good player retention, which will help drive growth in the future.

The company saw its biggest revenue increase in Asia, which increased 92% year on year, driven by customer growth and sustained momentum in Japan after the successful launch of its InterCasino brand.

Chief Executive Lee Fenton said: “It has been very pleasing to oversee another strong half-year performance, with reported gaming revenues doubling across the group year-on-year.

“Our strong brands, operational control and proprietary technology have allowed us to drive growth in established markets such as the UK, while also delivering strong results in fast-growing markets in Asia.”

The company declared a first-ever interim dividend of 12 pence per share.

Looking towards the future, and after a strong performance in the first half, Gamesys expects its revenue and adjusted earnings before interest, tax, depreciation and amortisation to be “comfortably” ahead of its own expectations.

“Our strong performance has continued into the early part of the third quarter across our major markets. While we remain very cognisant of the macro economic uncertainty created by the COVID-19 pandemic, our high-quality brand portfolio, operational control and proprietary technology platform leave us well placed to address the growth opportunities which lie ahead,” it said.