GVC shares surge on strong results

Business News

GVC Holdings shares surged 7% this morning following upbeat earnings, although gains were capped on worries about more coronavirus curbs in the UK.

Full-year underlying profits (EBITDA) are now expected to come in at between £770mln and £790mln, ahead of the previous £720mln-£740mln range. Group net revenue climbed 12% in the third quarter to end-September, 2020, the group said in a trading update.

Online revenue was up 26% in the quarter, with gaming volume ahead of pre-COVID-19 levels and sports wagers “well ahead” thanks to a busy sports schedule.  

Shay Segev, GVC’s CEO, commented:“This has been another strong period for GVC. We have delivered our nineteenth consecutive quarter of double-digit online growth, along with market share gains in all our major territories. The momentum that we are seeing across the Group is a clear testament to the resilience of our highly diversified business model, the attractiveness of our brands and products, the power of our proprietary technology platform, and the hard work and dedication of our teams around the world.

“GVC is primed for further growth. In the US, BetMGM continues to go from strength to strength as we roll out into new states, integrate further with our partners’ customer propositions and deliver innovative products and features. With a market share of approximately 17% across our live markets, we are making great progress towards being the leading operator in the US.

“The acquisition of Bet.pt that we are announcing today is consistent with our strategy of expanding into new markets that are either regulated or regulating, in order to support our international growth ambitions.

“While the risk of further restrictions as a result of COVID-19 mean that we remain cautious on the short-term outlook, in the longer term we are confident of being able to continue delivering sustainable growth for all our stakeholders.”