Revenue growth affected by increased marketing and operational expenditure
Online gaming provider Gaming Realms plc, reported on its results for the fifteen month period ended December 31, 2014 saying its impressive revenue increase was impacted by increased marketing and operating costs.
Key performance indicators for the 2014 Financial year include:
* Revenue increased 1,174 percent to GBP 11.2 million for the fifteen months trading to (2013: GBP 0.9 million)
* Adjusted EBITDA loss of GBP 7.8 million (2013: GBP 2.3 million)
* Marketing investment of GBP 10.2 million (2013: GBP 1.8 million) and amortisation of intangibles of GBP 1.3 million (2013: GBP 0.2 million) resulted in a loss before taxation of GBP 9.8 million (2013: GBP 3.4 million)
* Strong balance sheet with cash and cash equivalents of GBP 4.0 million as of (2013: GBP 5.2 million)
Looking ahead, the company provided a trading update for the first quarter of 2015 in which it said the launch of its proprietary platform is delivering strong revenue growth and mobile play.
Quarter on Quarter revenue is up 23 percent to GBP 3.8 million, with real money gambling increasing 80 percent to GBP 1.8 million.
New depositing players have increased 51 percent to 35 857, while 20 daily average depositors amounted to 7 233, an increase of 20 percent.
Gaming Realms revealed 68 percent of its revenue on the newly developed platform is derived from the mobile channel alone.
Commenting on the results Michael Buckley, Chairman of Gaming Realms, said:
"The Group has remained focussed on delivering multi-platform real money gambling to the casual gambling market through new content and social elements.
"Gaming Realms delivered a transformational year in 2014, the acquisition of QuickThink Media and Blueburra Holdings has enabled us to grow the customer base more rapidly. The completion of our proprietary platform and the successful inception of the SpinGenie brand have provided us with the foundations to deliver our unique gaming offering."
Online Casino News Courtesy of Infopowa