OPAP sports betting revenues fall 13% in Q3
Betting revenues hurt by a correction in virtuals performance and customer-friendly results
Greek gambling giant OPAP has revealed a modest revenue rise during Q3 2018, citing poor performance in its sports betting arm and macroeconomic challenges in the Greek market.
Overall gross gaming revenues (GGR) reached €368.9m (£325.4m) during the quarter, a 3.2% year-on-year increase when compared to the same period of 2017.
However, sports betting GGR fell sharply by 13.2% year-on-year to €97.5m (£86m) in Q3, with the company citing normalisation of virtuals performance and “customer-friendly sports results” as factors in the decline.
In September, OPAP’s announced the launch its new online and mobile sportsbook brand, Pamestoixima.gr, completing a round of technological investment that started in 2015.
Operating expenses also rose sharply during the quarter by 20.5% to €66m (£58.2m) from €54.7m, despite CEO Damian Cope stating that the company continues to maintain a close control on costs.
Cope remained upbeat about the company’s progress in delivering on its 2020 Vision strategy, adding: “We remain confident in meeting both our own expectations and the long-term ambition of establishing OPAP as a world class gaming entertainment company.”
Company gross profits grew by 5.2% during the quarter to €146m (£128.8m), from a previous Q3 2017 figure of €138.7m.
OPAP’s video lottery terminals enjoyed record growth during the quarter, with GGR more than tripling to €50.8m (£44.8m) from the €16.2m reported during the same quarter a year prior.
Lottery GGR decreased by 2.2% year-on-year during the quarter to €189.5m (£167.1m) from the €193.9m GGR figure reported during the same quarter of 2017. Gross gaming revenues from so-called instant & passive games fell by 11% y-o-y to €31m (£27.3m) from a previous Q3 2017 figure of €34.8m.