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Any ideas?
SOMETHING GOIN ON BIG BUYS ROLLING IN
" Strong September for Pennsylvania operators as revenue grows to $415.7m
Pennsylvania’s regulated betting and gaming market grew by 46 per cent in September as total gaming and sports betting revenue climbed to $415.7m"
I'm Assuming Online casinos following the same trajectory.
Thanks for your very interesting post dusty.
In the interims, GMR stated that revenues are expected to GROW SUBSTANTIALLY in H2'21 and Align are predicting £14.9 FY revenue and £5.4m ebitda and they tend to be a little on the conservative side.
As far as 2022 goes, over the past year Align has upped its 2022 revenue prediction by 30% to £16m and Canada (expected to go live in a matter of weeks) is an unknown quantity but is expected to exceed any of the currently regulated US states. I think there is pent-up demand there. The Canadian Gaming Association estimates that Canadians have been spending $14 billion yearly on offshore betting so they’ve been crying out for a regulated Canadian igaming market.
As far as the potential for dividends, in the recent Interims GMR stated: “Cash or cash equivalents grew from £0.85m to £3.92m due to strong cash conversion of operating profits.”
If you have cash piling up in the bank you either: reduce debt, go on a spending spree, buy back some of your own stock, or pay out a dividend. I’m interested to know what’s going to happen about the Gamesys (Bally’s) convertible loan. Align Research current value the company at 53p a share and that includes provision for potential equity dilution from the Gamesys loan (currently around £3.5m and due for repayment in December 2022).
We are invested in a company that’s part of one of the fastest growing markets in the world. We are trading with positive cash flow from a stable fixed cost base and with low variable costs of just 18% of revenue. The more markets we gain access to, the lower the percentage of fixed costs per revenue dollar, so the higher our profits. I’m very optimistic about the near-term growth of this company, especially in 2022, which will be on us before we know it!
I'm not being pessimistic but I'm not to certain how much impact Connecticut with only 3.5 Mill population will have. it's definitely a small percentage of our rising total gambling population. Welcome of course but not that big a deal?
Re Canada, This is obviously a big deal but is going to be some months away from revenue as the first few months will be free to play anyway. Probably will take us into the 2nd half of next year to see any meaningful revenues. Once it does get going it will be important but definitely a slow burner.
Both are obviously good news and will contribute to our rising revenue rather than be game changers.
Well said Dusty. Can’t help think a dividend policy would take things up a notch along with well timed and positive results in December should see this flying then as you say seems like a no brainer one of these cashed-up US businesses would snap up this bargain basement aim listed business and trade it several times higher overnight
I wanted to put this into a post for people to understand the prospect this company has going forward , and even with the share price dropping i am her for the long haul .
We should also be getting an update around early Dec and i can see this share going north again like it did that time last year .
Based on the post period end comments mentioned at H1
1) Licensing revenue increased 28% in the two months post period-end
2) Launched in Pennsylvania with BetMGM and Rush Street Interactive.
3) Launched further operators in Michigan with Draftkings , Rush Street Interactive and Scientific Games ( we are now in Connecticut, Netherlands and Canada as well)
· Released two new Slingo games: Slingo Big Wheel and Redhot Slingo.
Below is my minimum expectation, on point one alone 2021 results will be .
Total revenue grew 39% to £15.6m in (2020 £11.2m) for the year
With the above I can see a divided being offered.
But with the other points mention above and the other broadcast we as shareholders have found out (agree with other comments that the PR for this company is bad). I can see YE for 2021 being
Total revenue grew 60% to £18 m in (2020 £11.2m) for the year
And an even bigger dividend or a suiter will see the potential and buy this company .
With so many large US and U.K. gaming companies buying each other in my opinion it is only a matter of time before one of them bids for GMR as a nice add on .
Agreed Alocasia. This company needs to get themselves a decent financial PR firm
Only three operators - DraftKings, FanDuel (in conjunction with local tribes) and SugarHouse (Rush Street) in conjunction with the local lottery – have been approved to operate in Connecticut.
Only Draftkings and FanDuel are allowed to offer casino games. Slingo is directly integrated into both of these platforms and Draftkings boast "more than 20 Slingo titles".
Surely THIS is worth an RNS as launching in this market was one of GMR’s stated objectives when they announced the interims: “We are targeting further markets in North America including Ontario and Connecticut” and they have previously RNS'd the launches in Penn & Michigan.
Slingo live in CT.
"You will find the best online slots such as Divine Fortune, Cleopatra, Wheel of Fortune, Monopoly and Slingo. Many offer jackpot games with six figure payouts. FanDuel has a jackpots tab so you can see all the jackpot titles easily."
https://www.topuscasinos.com/connecticut
Another US state launches igaming.
It was only a temporary supply issue with the plutonium for the fuel cell (got stuck in the Suez or something) but no worries, where we're going we don't need roads.
Has someone just kicked the tyres and started the engine again?
BetRivers has launched its CASINO4FUN platform in Canada. The platform was first launched in the US in 2016 to allow players to get a feel for online casino games (inc Slingo) in areas that have not yet legalised online betting, and it has just expanded into Canada for the first time.
As the name suggests it is a free-to-play casino used to attract players ahead of the real launch in Canada in the coming months.
https://www.gamingintelligence.com/products/social/146108-betrivers-expands-into-canada-with-new-social-gaming-platform/
The sooner that Ash has sold his shares the better. It has had such an effect on the SP. After the last results and continuing good news on expansion, without his selling, the SP would be much higher. I note many automatic trades this morning which doesn’t help.
Holding for the turnaround which will undoubtedly come.
Playtech shares up 57% today
Hopefully some added interest in the sector today with the Playtech bid?
More consolidation in the industry with takeover of Playtech announced today.
It was 1.7m i expect it is the remaining shareholding for Ash.
There was over 600,000 sold in the last hr, is there something we do not know .
Any ideas why the sudden dump at close? The bid was nowhere near that at 16.30.
Has also slingo games with relax gaming launching in the netherlands!
Sorry should have read the old rns it was renewed in may for 4 years .