- Record revenue performance with total net gaming revenues up 28% to £62.3m (2015: £48.7m)
- EBITDA* increased 102% to £10.6m (2015: £5.2m)
- PBT increased 511% to £6.5m (2015: £1.1m)
- 77% of net gaming revenues derived from regulated and taxed markets (2015: 80%)
- 32Red moves to profitability in Italian market
- Successful launch of new responsive, multi-platform website in April 2016
- Extended contract with improved and more flexible terms signed with Microgaming
- Mobile revenues represent 57% of total casino revenues (2015: 44%)
- Exclusive licence to promote casino games for ITV flagship brands featuring Ant and Dec
British Horse Racing sponsorship agreements with racecourses and brand ambassadors
Ed Ware, CEO commented:
“It is once again a pleasure to announce another record annual performance from 32Red. In 2016 the Group delivered continued strategic progress across the business with outstanding growth on mobile, further successful product enhancements and highly successful marketing investment, all the while maintaining one of the highest levels of regulated revenue amongst our peers. This outstanding operational progress has resulted in another hugely successful financial outcome with EBITDA* more than doubling and revenues rising by an impressive 28% to exceed prior records.
Momentum into 2017 has remained strong with NGR up 20% year on year. Underpinned by the strength of the brand, 32Red has an exceptional platform to drive continued growth across the business and increase market share both in the UK and Italy.
The recommended offer for the business by Kindred Group plc post the Period end reflects the strength of the 32Red brand as well as its significant growth opportunities as a casino focused operator. We are confident that Kindred would provide the right fit both operationally and culturally to continue the Group’s growth.
The Group’s outstanding performance in 2016 is, above all, testament to the efforts of our outstanding team. Their passion, skill and dedication continues to drive the business forward. 2017 is set to be another landmark year for 32Red and I would like to thank all of my colleagues for their continued dedication and hard work.”