Gamesys FY17 revenues hurt by loss of Sun Bingo contract
Gaming technology group reports a 5% rise in revenues for 2017 while EBITDA also dips thanks to Jackpotjoy sale
Gamesys has reported revenue growth of 5% to £230.7m for 2017 with strong performance from the firm’s core casino brands overcoming the loss of the Sun Bingo contract to Playtech.
EBITDA for the year reduced by £11m from the prior corresponding period to £2.5m after the Group sold the Jackpotjoy brand for an initial £150m.
Gamesys’ top line results for the year were significantly affected by the loss of the Sun Bingo contract in August 2016, although real-money revenue amounted to nearly £100m thanks to the performance of the Group’s Virgin, Caesars, Monopoly and Heart brands.
The figures mean Gamesys is now firmly within the top 10 UK online casino operators, according to Paul Leyland of Regulus Partners.
“Even with growth slowing from these levels, impressive operational performance and material market share gains remain likely in our view,” he said.
Employee numbers grew by 7% to 967 at Gamesys during 2017, while social gaming fell by 17% to £3m in line with market performance.
Looking ahead to the potential regulatory changes for the online gaming sector in 2018, Gamesys director Noel Hayden said in a statement to investors: “The regulation of the online gambling industry continues to evolve.
“The Group complies with all gaming regulations and maintains an in-house legal and regulatory team to monitor changes and compliance.
“A key market for the group continues to be the UK, and Brexit presents uncertainty to both customers and the wider economy.”