Foxy Bingo owner GVC enjoyed a 24 per cent increase in sales to £799.4million last year, bolstered by its acquisition of bwin.party and an upturn in mobile betting.
GVC is gearing up to complete its £4billion takeover of Britain’s biggest bookmaker group, Ladbrokes Coral.
Having reported strong annual sales, GVC’s share price is up 2.5 per cent or 22.5p to 923p this morning.
Boost: Foxy Bingo owner GVC enjoyed a 24 per cent increase in sales to £799.4million last year
Ladbrokes’ share price is up 0.89 per cent or 1.45p to 164.85p.
GVC’s annual earnings increased by 51 per cent to £213.6million, while pre-tax losses narrowed to £22.8million.
Total net gaming revenue increased by 16 per cent to just over £825million.
Mobile gaming now makes up half of the group’s revenues, compared to 37 per cent in 2016.
Kenneth Alexander, GVC’s chief executive, said: ‘GVC achieved a significant amount in 2017 and as these numbers demonstrate, we have delivered material value from the bwin.party acquisition.
‘The acquisition of Ladbrokes Coral Group represents an exciting opportunity, bringing together industry-leading online and retail brands.
‘There will be plenty of hard work ahead, but we are confident that GVC will deliver once again.’
GVC declared a second interim dividend of €0.175 per share, giving a full year dividend of €0.34, marking a 13 per cent increase on a year ago.
Deal: GVC is gearing up to complete its £4billion takeover of Britain’s biggest bookmaker group, Ladbrokes Coral
The tie-up between GVC and Ladbrokes will see the creation of an online-led global gambling giant, combining Ladbrokes’ high street and online operations with GVC’s stable of brands, including Sportingbet and PartyCasino.
The Fifa World Cup in Russia, which is taking place this summer, is likely to result in a boost in sales for gambling firms across the board.
On Thursday, Ladbrokes and GVC shareholders voted ‘overwhelmingly’ in favour of the latter’s proposed acquisition, with both firms awaiting regulatory clearance to complete.
‘The combination of the two groups will create one of the largest listed sports betting and gaming companies in the world, with an unrivalled portfolio of established gaming brands across international markets’, GVC said.
GVC added: ‘This together with our proprietary technology and deep pool of industry talent, leaves us well positioned to further benefit from the opportunities presented by the global gaming market.’
Founded in 2004, FTSE-250 listed GVC owns a number of gaming brands, including partypoker, PartyCasino, Casino Club, Gioco Digitale and Foxy Bingo.