Leading online gambling provider has recorded a 33 percent year-on-year increase in total revenues for the first half of 2010 courtesy of its online casino business.
Friday 23rd July 2010
Leading Gibraltar-based virtual gaming operator 32Red has released its financial results for the first half of 2010 showing a 33 percent year-on-year increase in total revenues to £7.8 million.
32Red revealed that its overall results were helped by the performance of its online casino operation, which saw a 29 percent year-on-year rise in revenues to £6.8 million. This figure does not take into account Europe-focused NedPlay.com and GoldenLounge.com, which were purchased only in February and contributed £500,000 in earnings for the six-month period.
However, 32Red stated that its poker business saw a 14 percent year-on-year decline in revenues to £400,000 for the first six months of 2010 while its bingo operation suffered a similar fate with earnings down three percent when compared to the same period in 2009 to £100,000.
The number of active online casino customers for the first half of 2010 grew 35 percent year-on-year to 19,497 while yield per player dropped by seven pounds to £353. 32Red saw 12,289 new casino players over the six-month period, which was a 26 percent increase over the same period last year, with the cost per acquisition falling three pounds to £86.
“Our strong first half performance is particularly pleasing given the challenging economic conditions in the United Kingdom, which remains our core marketplace,” said Ed Ware, Chief Executive Officer for 32Red.
“We believe that the 32Red brand and its core values continue to provide us with the tools to penetrate the online and mobile casino market successfully. Another period of strong recruitment at reduced cost per acquisition rates since the end of 2008 gives us optimism for the prospects of the business going forwards.
“The group has further strengthened its balance sheet and, having repaid all outstanding bank debt, will increase marketing spend during the second half of the year.
“While the focus remains in the UK, the board continues to monitor regulatory developments in Europe and the rest of the world with a view to expanding into new markets should attractive opportunities arise.”
