Playtech recorded strong five-year revenue in the first half of 2023, while investing heavily in hard rock
Date: 2023-09-07 Author: Kirill Zagoruyko Categories: CASINO, EVENTS
For the first half of 2023, Playtech's revenue grew by 8% year on year to 859.6 million euros (920.9 million US dollars). Breaking that figure down, the company earned €334.5m from its B2B division, up 7% from the first half of 2022. Meanwhile, Playtech's B2C revenue reached 532.1 million euros, up from the 487.3 million euros it received in the same period last year. year.
Moving on to Playtech's Adjusted EBITDA from continuing operations, in the first half of 2023 the company earned €219.9 million, up 10% from the €199.1 million in the first half of 2022.
Since 2019, Playtech's adjusted EBITDA has been falling and then rebounding (as well as revenue) as a result of Covid. For the first half of 2019, the company recorded an amount of 190.6 million euros, which fell to 162.3 million euros in the first half of 2020 and again to 124.1 million euros in the first half of 2021.
However, despite a year-over-year increase in EBITDA and revenue, Playtech's after-tax profit fell by 96% to €3.1 million in the first half of 2023 and was €71.4 million in the first half of 2022. This is due to the €79.8 million investment the company made in Hard Rock Digital in the first half of 2023 in exchange for a minority stake in the company.
“We have started well in the second half of the year and are on track to deliver FY23 Adjusted EBITDA slightly above current expectations,” Mor Weiser, CEO of Playtech.
In 2021, the company still posted adjusted earnings after taxes of €54.6 million, while it posted adjusted earnings of €44.3 million in the first half of 2020.
Meanwhile, Playtech's net debt for the first half of 2023 decreased by 50% annually and now stands at 248.2 million euros. This figure is well below the registered net debt of the company in 2021, when it was 677.9 million euros, and in 2020, when it was 522.6 million euros.
Mor Weiser, CEO of Playtech, commented on the results: “Our success during this period has been driven by our diversified portfolio spanning B2B and B2C in some of the fastest growing regulated markets worldwide.
"Having laid the groundwork in the US, we are expanding our offering in many states and are confident in our future prospects following a landmark agreement with Hard Rock Digital."
The chart below shows Playtech's total revenue for the first half of 2019 and how the company recovered from the impact of Covid-19 in 2020 and 2021 and recorded the highest revenue since the pandemic.
Since 2019, Playtech's adjusted EBITDA has been falling and then rebounding (as well as revenue) as a result of Covid. For the first half of 2019, the company recorded an amount of 190.6 million euros, which fell to 162.3 million euros in the first half of 2020 and again to 124.1 million euros in the first half of 2021.
However, despite a year-over-year increase in EBITDA and revenue, Playtech's after-tax profit fell by 96% to €3.1 million in the first half of 2023 and was €71.4 million in the first half of 2022. This is due to the €79.8 million investment the company made in Hard Rock Digital in the first half of 2023 in exchange for a minority stake in the company.
“We have started well in the second half of the year and are on track to deliver FY23 Adjusted EBITDA slightly above current expectations,” Mor Weiser, CEO of Playtech.
In 2021, the company still posted adjusted earnings after taxes of €54.6 million, while it posted adjusted earnings of €44.3 million in the first half of 2020.
Meanwhile, Playtech's net debt for the first half of 2023 decreased by 50% annually and now stands at 248.2 million euros. This figure is well below the registered net debt of the company in 2021, when it was 677.9 million euros, and in 2020, when it was 522.6 million euros.
During the year, Playtech's share price rose and fell unpredictably, starting on January 3 from £5.36 ($6.69) and hitting a high of £6.34 on May 17 and a low of £5.08 on March 28 . At the time of writing, its share price is £5.35 and its market capitalization is £1.65 billion.
"Having laid the groundwork in the US, we are expanding our offering in many states and are confident in our future prospects following a landmark agreement with Hard Rock Digital."
