LONDON (Alliance News) - Nektan PLC on Monday said its revenue rose in the second quarter of its current financial year, helped by contract wins with new operators.
The gaming technology and services provider said gaming revenue for the three months to the end of December increased by 28% to GBP8.6 million from GBP6.7 million reported in the first quarter of its current financial year. On the year-on-year basis, revenue grew by 83% from GBP4.7 million.
In the second quarter, Nektan's technology generated over GBP222.5 million in cash wagers, up 22% from GBP182.4 million in the first quarter, and up 74% from GBP127.8 million the year prior.
In the Business 2 Client division, Nektan said net gaming revenue declined by 3.1% quarter-on-quarter to GBP6.2 million due to higher-than-expected player wins. More positively for Nektan, revenue in this unit rose by 32% from GBP4.7 million the year before.
Numbers of first time depositors declined 6.8% quarter on quarter to 36,328 and by 1.6% year-on-year.
During the period, the company launched new white-label casino partners, notably the Shipley Brothers, taking the number of managed global casino brands to a record of 145 across Europe.
Thus, Nektan now expects European earnings before interest, taxes, depreciation, and amortization break-even by the end of June 2019.
Meanwhile, in the Business 2 Business unit, gross gaming revenue multiplied to GBP2.4 million from GBP300,000 reported in the first quarter.
In the second quarter, Nektan went live with four new operators, it said, taking the total number of B2B partners to 10.
"This record-breaking quarter for the group has not only highlighted that we have made significant enhancements to our technology, but we are becoming a firmly established business that is on track to be profitable in our core European business by the end of this financial year," said Nektan Chief Executive Lucy Buckley.
Nektan shares were trading 3.6% higher on Monday at 14.50 pence each.