Publishing its interim 2018 results (six-month period ending 30 June), FTSE-listed GVC Holdings displays its enlarged capacity as digital and European growth helps override tough UK retail trading conditions.
Presenting its first report incorporating the assets of Ladbrokes Coral (acquisition officially completed on 28 March 2018), GVC records group revenues of £1.1 billion.
In its report, GVC governance highlights its strengthened digital portfolio, which has seen the company secure ‘market share gains across all territories’ for its sports betting and online gambling brands.
“The performance of the GVC Group in the first half has been extremely pleasing in what has been a very busy period. Strong momentum in Online and European Retail has continued, and a positive World Cup helped improve trends in UK Retail in the second quarter.” Details Kenneth Alexander Group Chief Executive GVC Holdings.
Updating investors, The FTSE betting group records gross profits of £763 million, combined with a group underlying EBITDA of £235 million.
Closing an enterprise changing H1 2018 trading period, GVC declares underlying group profits of £113 million, as governance outlines further combined synergies.
“The acquisition of Ladbrokes Coral completed on 28 March and the integration of that business is progressing well. We have now identified capex synergies of at least £30m in addition to the £130m cost synergies and we are well placed to deliver those savings while driving top line growth. We are gaining market share in all our key markets and we will look to reinvest to further strengthen our market position.” Kenneth Alexander further outlined.
Further to its results, GVC governance would update investors and stakeholder on the progress of its announces 50-50 joint venture with Nasdaq-listed US casino operator MGM Resorts (deal announced 28 July).
“The repeal of PASPA by the U.S. Supreme Court in May provides a significant new market opportunity and we are delighted to have announced a joint venture with MGM Resorts to provide sports-betting and online gaming services in the US. The combination of MGM’s leading brands together with GVC’s proprietary technology, and both businesses’ combined betting and gaming expertise puts the Group in the best possible position to benefit from what could become the world’s largest regulated sports-betting market.
Our strategy to build scale and diversification through organic growth and acquisition is more relevant today than ever. Gaming regulation continues to evolve globally creating both opportunities and challenges, with barriers to entry rising all the time. Against this backdrop, GVC is well positioned to continue to create further shareholder value. We also recognise the importance of corporate social responsibility and in particular that actions speak louder than words. Over the coming months we will announce a number of new initiatives across all areas of CSR”.
GVC Holdings interim H1 2018 trading results