Gamesys US revenue up 25% as group scales tech platform
Virgin Casino operator primed to take advantage of Ontario igaming opportunity
Gamesys’ New Jersey business grew its revenue by 25% year on year in 2020 to an estimated £12.7m ($17.6m) based on group-wide earnings announced today.
The London-listed online operator, which is behind Virgin Casino and also powers Tropicana’s online casino in New Jersey, said it scaled its US platform during the year, investing in both staff and technology to accelerate growth in 2021.
The company also intensified its focus on Canada as Ontario looks set to launch igaming in 2021.
Gamesys CEO Lee Fenton said the group expects to make inroads into Canada in coming months.
On New Jersey, Fenton said: “Having been in New Jersey for seven years already, we consider ourselves well placed to take advantage of the growth of the US market over time.
“Due to the legislative frameworks that have emerged in the market we have to partner to access further states and when we believe we have the right partner, with the right economics to enable long-term sustainable growth, we will continue our expansion,” he added.
The operator estimates its Virgin Casino brand has US awareness in excess of 95%.
Industry analyst firm Regulus Partners said in a note: “Gamesys demonstrated a solid enough performance but lagging the New Jersey leaders (betting-led cross-sell more than doubling, Golden Nugget +55%; overall NJ market growth +88%), while not yet entering other states and so missing the US online gaming market growing c. tripling YoY on a Q121 TAM basis.”
Eilers and Krejcik Gaming estimated the Virgin Casino brand secured 1.8% of the New Jersey online casino market in 2020, achieving 11th place out of 22 brands.
Elsewhere, the wider Gamesys Group reported a 29% year on year rise in pro forma revenue to £727.7m ($1bn) for 2020.