(Alliance News) - Playtech PLC on Wednesday said it expected further adjusted earnings growth in the medium-term as it posted a profit increase and an optimistic outlook.
The Isle of Man-based gambling software development company said pretax profit surged to EUR235.8 million in 2023 from EUR95.6 million in 2022.
Adjusted pretax profit meanwhile climbed 16% to EUR250.5 million from EUR215.4 million.
Revenue ticked up 6.5% to EUR1.71 billion from EUR1.60 billion.
The income tax expense increased to EUR130.7 million from EUR55.0 million.
Citing Milan, Italy-based Snaitech, which offers gaming and entertaining services and sports and horse racing betting, the company said: "The dynamics within 2023 were varied. In the first half of the year, within the betting segment, sales were up significantly across both retail and online due to pent-up demand after the football World Cup (given Italy was absent from the tournament)."
Playtech noted that many of its colleagues are affected by the Israel-Hamas war and the war in Ukraine.
Looking ahead, Playtech aims for business-to-business medium term adjusted earnings before interest, tax, depreciation and amortisation of EUR200 million to EUR250 million, and business-to-customer adjusted Ebitda of EUR300 million to EUR350 million. The total minimum of both would be EUR500 million, at least 16% higher than the adjusted Ebitda of EUR432 million Playtech posted for 2023.
Chief Executive Officer Mor Weizer said: "With regards to outlook, we are well set to achieve our medium-term targets for both B2B and B2C divisions and have a high-quality balance sheet giving us the flexibility to pursue both organic and inorganic growth opportunities."
Playtech shares were 1.0% higher at 476.81 pence each on Wednesday morning in London.
By Tom Budszus, Alliance News slot editor
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Playtech (PTEC)