Playtech profits grow ahead of Plus500 acquisition
Playtech reports strong growth in profits ahead of its acquisition of Plus500
The figures
Playtech reported revenue of €286m (£210m) for the first half of 2015, a 33 per cent increase on the same period last year.
Adjusted net profit was up 19 per cent at €119m, compared to €96.8m in the first half of 2014.
Earnings per share also increased by 19 per cent to 39.6 cents.
The company also announced that dividend would increase eight per cent to 9.6 cents per share.
Why it's interesting
Playtech has seen increases across a number of financial measures, including revenue, earnings, and dividends. The company says the increased dividend “reflects Playtech is in its strongest position to date and maintains a global leadership position with the best f breed products and services”.
Read more: Playtech tumbles with £250m share placing
The company also expects to complete its acquisitions of Plus500 and AvaTrade in September, which are subject to regulatory approval.
Read more: Plus500 shareholders give Playtech takeover the green light
Playtech was given the go ahead for its 3460m acquisition of Plus500, the online spreadbetter.
This comes after Playtech acquired TradeFX Limited – subsequently renamed Markets Limited – as part of its growth strategy.
Looking forward, the company said mobile continues to be a core part of its growth strategy, with 20 per cent of revenues coming from mobile devices, compared to 15 per cent next year.
What Playtech said
Alan Jackson, chairman of Playtech, said:
We have made significant progress against all aspects of our strategy during the first half of the year. We have completed a series of strategic acquisitions to create and enhance our new financials division, a high-growth and regulated industry, and our continued operational delivery across all business segments has translated into a strong financial performance across all key metrics, with revenues up by a third in the half year.
Our Gaming business continues to go from strength to strength with our strategy of focussing on regulated markets driving growth. Our pipeline remains strong, with significant opportunities across all geographies, as customers seek to benefit from our market-leading omni-channel offering and our best-of-breed products in each and every product category.
Taken together, the progress we have made gives me great confidence that the sustained momentum in our business will result in further growth in 2015 and beyond.
In short