NetPlay TV names new CEO as H1 profits drop 19%
Bjarke Larsen named interim CEO as Charles Butler replaces the retiring Clive Jones as non-executive chairman
Interactive casino firm NetPlay TV today announced a restructuring of its management team following a 19% drop in H1 profits with Bjarke Larsen named interim CEO and outgoing CEO Charles Butler taking on the role of non-executive chairman.
Bjarke Larsen, appointed as the firm’s commercial director last month, will take up the position of interim CEO while the board searches for a long-term successor.
CEO Charles Butler will take on the role of non-executive chairman replacing Clive Jones, who is retiring from his role on the board.
The board changes are due to take effect as of Monday and Butler thanked Jones for his “significant contribution” to the company while welcoming Larsen to the position.
“Bjarke’s knowledge of both the company and the wider industry puts him well placed, with the rest of the board, to drive the business forward,” he added.
The management restructure comes as the company reported a slump in H1 profits on the back of net revenue remaining largely flat.
Net revenue rose just 2% year-on-year to £14.5m for the six months ended July 31, despite a 29% increase in active depositing players, while EBITDA fell almost 19% to £2.2m as marketing expenditure rose 6%.
The company said the impending UK Point of Consumption tax had led to an “unsustainable level of competitor marketing and bonus offers” which had resulted in lower ARPU for the period.
Mobile however continued to grow as a revenue channel for the company with it generating 36% of total net revenue in H1, up 8% year-on-year.
The company also provided an update on its sportsbook ambitions following its acquisition of Vernons last year, and said there was “an opportunity for this part of the business to grow rapidly” as soon as a mobile app and website is launched.
NetPay revealed current trading to be up 6% year-on-year and maintained that it expects full-year results to be in-line with expectations.
NetPlay’s share price was down 1p to 11p after early morning trading at the time of writing.