GVC Holdings announced its interim results for the first six months of 2012.
The provider of internet betting in United Kingdom, Germany and Latin-America reported a 50 percent increase in interim dividends. The 15 euro cents per share (growing from 10 euro cents in the first half of last year) is above expectations.
GVC, a developer and publisher of online casinos in United Kingdom returned EUR 58 million to its shareholders in the last 5 years, which is among highest returns in the gambling industry.
Chief executive officer Kenneth Alexander commented: “We have been delighted by the performance of both our B2C and B2B divisions in the first six months of this year, and our confidence in the future is represented by the significant increase in our dividend.”
Alexander added: “GVC’s investment in its B2C brands together with the successful delivery of the group’s B2B service to East Pioneer Corporation B.V. is now delivering considerable returns, and to illustrate the Board’s confidence the interim dividend has been increased by 50 percent to 15 EUR cents per share.”
Here are the details of the report, with the most important KPIs considered by the British gambling laws:
Revenues in the first half of 2012 are up 47 percent to EUR 29.1 million from EUR 19.8 million in the first half of 2011.
Operating profits in the first half of 2012 rose a staggering 138 percent to EUR 6.6 million from EUR 2.8 million year-on-year.
GVC’s revenues from B2B activities in the first half of 2012 showed a significant increase to EUR 9.9 million from EUR 1.4 in the first half of 2011.
GVC subsidiary Casino Club revenues suffered slightly due to the decline in online poker gaming in the first half of 2012, falling to EUR 14.1 million from 14.6 million year-on-year. The profit of the German market orientated company grew however to EUR 5.2 million from EUR 1.6 million in the first half of 2011.
GVC’s Latin American brand, Betboo saw H1 revenue rise by 33 percent to EUR 5 million from EUR 3.8 million last year.
GVC Holdings recently announced together with William Hill their intentions to acquire Sportingbet. You can read more about the topic in the article: Sportingbet Shares Rocket After Alleged Offer From WH and GVC.