Q4 2010 KPIs and trading upda

RNS Number : 0189A

Playtech Limited

25 January 2011

 



Playtech Limited

('Playtech' or the 'Company')

Q4 2010 Key Performance Indicators and Trading update

Strong quarterly performance provides confidence for full year and platform for 2011 growth

Playtech, (AIM: PTEC) the international designer, developer and licensor of software for the online, mobile and land-based gaming industry, today announces its Key Performance Indicators for the fourth quarter ending 31 December 2010 and a trading update ahead of announcing final results on 10 March 2011.

Financial highlights

§ Gross income up 26% to €173.1 million for the 12 months to 31 December 2010, (2009: €137.3 million)

§ Gross income for Q4/10 up 14% to €43.9 million, (Q4/09: €38.5 million) reflecting strong growth in activity and an encouraging performance across all product groups

§ Total revenues for the 12 months to 31 December 2010 up 24% to €142.3 million, (2009: €114.8 million)

§ Total revenues during Q4/10 up 21% to €36.9 million, (Q4/09: €30.4 million) and 13% higher than the €32.5 million achieved in Q3/10

§ Quarter-on-quarter revenue performance: Casino revenues up 20% to €25.9 million, Poker revenues up 3% to €5.9 million and Bingo revenues up 9% to €3.3 million

§ Share of profit from William Hill Online (WHO) up 37% to €30.8 million for the full year (2009: €22.5 million), including €7.0 million in Q4/10

§ Cash balances at 31 December 2010 in excess of €68 million, before payment of final consideration in relation to WHO of €15.1 million

Trading update

Daily activity in the first three weeks of January is over 11% ahead of January 2010 and over 1% above the average of Q4/10, with all products performing positively.

Operational highlights

§ RAY (Finnish poker and casino), successfully launched 29 November, achieved 60,000 registered players by 21^st December

§ Further licensees launched in Q4/10 included: Unibet (bingo) and Codere (Italian bingo)

§ Additional product launches for existing licensees included: bet365 (games tab content) and Titan (French poker); Tain (Casino) due shortly. Discussions on additional products with various existing licensees underway

§ New license agreements announced for regulated markets included: Buongiorno (Italian casino) and Nordic Bet (bingo)

§ Videobet FOBT roll-out progressing well in UK, moving to mass deployment phase

Commenting on the KPI's Playtech's Chief Executive, Mor Weizer, said:

"Playtech's business has increased in all areas, delivering a very robust fourth quarter performance. Growth from our existing business, when combined with the new licensees either just launched, or due to launch shortly, gives us a solid platform for 2011. As a result, the Board is comfortable with market expectations for the year ended 31 December 2010 and looks forward to 2011 with confidence as another year of significant development.

Today we have also announced the acquisition of IGS, a developer of casino management systems for an initial £2.5m cash consideration. We see this deal as furthering what is already Playtech's unique competitive advantage and cross platform capabilities as the trend of convergence of land based and online segments continues".

Fourth quarter Key Performance Indicators at 31 December 2010

Gross income
Three months ended '000 (€)	31-Dec-10	31-Dec-09	Change %	30-Sep-10	Change %
Gross Income	43,896	38,509	14%	41,285	6%
Total Revenue	36,889	30,424	21%	32,513	13%
WHO Share of profit	7,007	8,085	-13%	8,772	-20%

Total revenue
Three months ended '000 (€)	31-Dec-10	31-Dec-09	Change %	30-Sep-10	Change %
Total revenue	36,889	30,424	21%	32,513	13%
Casino revenue	25,927	20,663	25%	21,673	20%
Poker revenue	5,876	8,382	-30%	5,732	3%
Bingo revenue	3,329	69	4,725%	3,057	9%

Revenue - share of geographical diversity [1]

Three months ended	31-Dec-10	31-Dec-09	30-Sep-10
Europe	60%	64%	58%
Asia Pacific	36%	28%	37%
Rest of the world	4%	8%	5%

Revenue - nominal change in geographical regions

Period	Q4/10 to Q4/09	Q4/10 to Q3/10
Europe	14%	16%
Asia Pacific	53%	8%
Rest of the world	-42%	-16%

Twelve months Key Performance Indicators at 31 December 2010

Gross income
Twelve months ended '000 (€)	31-Dec-10	31-Dec-09	Change %
Gross Income	173,086	137,309	26%
Total Revenue	142,294	114,775	24%
WHO Share of profit	30,792	22,534	37%

Total revenue
Twelve months ended '000 (€)	31-Dec-10	31-Dec-09	Change %
Total revenue	142,294	114,775	24%
Casino revenue	96,710	76,757	26%
Poker revenue	27,406	33,813	-19%
Bingo revenue	10,853	235	4,518%

Share of geographical diversity [1]

Twelve months ended	31-Dec-10	31-Dec-09
Europe	61%	64%
Asia Pacific	33%	30%
Rest of the world	6%	6%

Nominal change in geographical regions 

Period	12M/10 vs 12M/09
Europe	24%
Asia Pacific	39%
Rest of the world	12%

All financial results mentioned herein are subject to audit.

[1] The relative share is calculated as the total players' income derived from the specific region divided by the total players' income from all regions

Mor Weizer, Chief Executive Officer, and Shuki Barak, Chief Financial Officer, will host an analyst conference call at 11.00 am on Tuesday 25 January 2011.

Details of the conference call are as follows:

Dial-in no UK: Dial-in no US: Conference ID:	[phone] [phone] 4402129
Replay (available for one week) Dial-in no: Conference reference number:	[phone] 4402129#

An audio file will be also available on the Playtech website following the conference call.

- Ends -

For further information contact:

Playtech Ltd Mor Weizer, Chief Executive Officer Shuki Barak, Chief Financial Officer Ross Hawley, Director of Investor Relations c/o Pelham Bell Pottinger	[phone]
Collins Stewart Piers Coombs / Bruce Garrow	[phone]
Deutsche Bank Mumtaz Naseem / Andrew Smith	[phone]
Pelham Bell Pottinger David Rydell / Olly Scott / Guy Scarborough	[phone]

About Playtech

Playtech develops unified software platforms and content for the remote and land-based gaming industry. Leading gaming applications include casino, poker, bingo, sports betting, live gaming, casual and fixed odds games. Playtech provides licensees with the tools to maximise cross-selling opportunities, player loyalty and yield, all through the powerful management interface - the IMS. The system's fully integrated, cross-platform capability enables players to access online, broadcast, mobile and server-based gaming terminals, through a single account. 

New licensees include existing online operators upgrading or diversifying their offering, land based casino groups, government sponsored entities such as lotteries, and new entrants making their online gaming debut, particularly in the newly regulated markets.

Founded in 1999, Playtech is headquartered in the Isle of Man and has over 1,000 employees located in development centres in five countries, the majority of whom are engaged in research and development of current and future gaming technologies.

www.playtech.com 

 

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