Playtech B2B revenues down 9% as Asia struggles continue

London-listed gaming supplier Playtech today reported a 9% drop in B2B gambling revenues to £265.5m, driven by continued struggles in Asia.

Regulated B2B gambling revenue grew 8% on a constant currency basis, but unregulated B2B gambling dropped 29%, largely driven by a 36% decline in revenues from Asia.

B2B casino revenues fell 25%cc to £130m, offset slightly by B2B sports which grew 26%cc to £60.6m.

Overall, Playtech’s reported H1 revenue rose 68% to €736.1m, driven by the inclusion of the Snaitech B2C business.

Adjusted EBITDA for the first half of the year rose by 31% to €190.6m,.

Playtech hailed Snaitech as its best H1 performer after the Italian betting giant reported 26% growth in adjusted EBITDA, with online now accounting for 36% of total wagers – online revenue grew 22%. Snaitech posted H1 revenues of €395.8m.

https://twitter.com/gamblinglamb/status/1164479418158522368?s=20

In the UK, Sun Bingo revenues increased by 20% to €17.5m.

The firm reiterated its 2019 adjusted EBITDA guidance range of between €390m and €415m.

Playtech chairman Alan Jackson said: “Playtech’s combination of scale and leadership in technology continues to deliver growth and strategic progress in our core gambling businesses.

“In H1 this continued progress has driven Group regulated revenue to a new high of 87%.

“In our B2B business, double digit growth in regulated markets outside of the UK has been accompanied by landmark new licensee wins in key regulated markets, laying the foundations for future growth.

“In our B2C business Snaitech continues to go from strength to strength demonstrating impressive growth momentum in a key market.

“The continued strength of the core business has allowed Playtech to continue its flexible shareholder returns policy, today declaring an additional buyback programme alongside an interim dividend,” he added.

Playtech shares were relatively unmoved in early trading.