Playtech expects 2022 revenue to hit €400 million mark
Playtech plc (LSE: PTEC) expects to achieve solid financial results for the fiscal year 2022 as B2B growth and Snaitech’s record performance pushed it towards large gains in revenue and net profit.
In a trading update, the London-listed gambling software developer said the business continues to perform strongly since interim results were released in September. As a result, adjusted EBITDA for the full year is expected to be at least €400 million, up 26% versus €317.1 million in 2021.
The solid performance was driven by B2B online growth, particularly Latin America and Snaitech. Highlighting its success, Playtech said the revenue growth more than offset hurdles encountered as a result of the COVID-19 pandemic. In particular, the B2B gambling segment grew by 17% from the prior-year period.
Americas proved to be the biggest success story for Playtech, it says in a statement to shareholders. The company’s B2B sports betting and retail Snaitech subsidiary performed well in the region with revenue growth of 182% to $446 million in the first semester, and adjusted EBITDA growth of 154% to €131.7 million.
“There will be an in-person results presentation at 9am at the London Stock Exchange, 10 Paternoster Square, EC4M 7LS, which will also be accessible via audio webcast. On the same day and at the same location as the FY 2022 results presentation, Playtech will also be hosting an event for investors and analysts. The focus of the event will be on the most exciting growth areas within the B2B division, with presentations from the management team covering the Americas and Live segments,” it said in a regulatory filing with the London stock Exchange.
The 2022 financial year proved to be a busy one for Playtech. Its second-biggest shareholder, Gopher Investments completed the long-mooted purchase of Finalto financial services division for $250 million. Over the year Playtech has refocused the business, with the sale of Casual and Social Gaming.
The gambling technology company has also laid the foundations for its US business to become one of its biggest growth drivers by doubling revenues in the region. Playtech announced new deals that saw the brand expand its US presence to include live casino studios in New Jersey and Michigan.
There has been frenetic dealmaking in the gambling industry since the US supreme court legalized sports betting as companies look to tap expertise of online gaming software suppliers operating in more developed markets such as the UK. This was also one of major drivers behind the takeover battle for Playtech, which has been heating up.