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23 Jan 2013 07:00
32Red Plc
("32Red" or "the Company")
Trading Update
32Red Plc, the award-winning remote gaming operator, is pleased to provide an update on trading for the year ended 31 December 2012.
2012 Summary
For the third consecutive year, the company announces record annual revenues, up 28% to £32.1m in 2012 (2011: £25.0m).
Total Revenues (£m) | 2012 | 2011 | 2010 |
Casino | £30.0m | £23.3m | £15.7m |
Other products | £2.1m | £1.7m | £1.2m |
Total Revenue | £32.1m | £25.0m | £16.9m |
Casino Performance
Overall performance continues to be dominated by the growth in the 32Red Casino with trading responding to the increased marketing investment throughout the year.
32RedKey Performance Indicators | 2012 | 2011 | 2010 |
Revenue | £28.7m | £21.8m | £14.8m |
Active players | 57,338 | 39,687 | 28,585 |
New players | 41,918 | 27,648 | 19,505 |
Yield per active player | £500 | £550 | £519 |
Cost per acquisition | £147 | £143 | £133 |
The 41,918 new players recruited during the year represent a 52% increase on the previous year. These new players have been recruited at a similar cost per acquisition of £147 to that of 2011 (£143). The yield per active player remains one of the highest in the sector, although the yields in 2012 will have been naturally softened due to the strong recruitment of new players during the period.
The continued revenue growth will result in 32Red Plc delivering profits in line with market expectations for 2012.
Italy
On 29 November 2012, the Company announced that it had commenced trading under its Italian Remote Gaming Licence. Italian customers were initially able to play traditional casino table games but from 3 December 32Red's games portfolio in Italy increased significantly with the introduction of government-approved slot machine games. We are encouraged by the initial response to the 32Red brand in Italy and plan further development of our games and platform offerings in 2013.
Current Trading and Outlook for 2013
Trading in 2013 to date has been strong across the Company's products with Gross Win for the first twenty-one days in January up 15% on an exceptionally strong corresponding period in 2012 that benefitted from significant promotional activity.
Commenting on the performance, Ed Ware, CEO of 32Red, said:
"32Red has enjoyed another strong year of revenue and profit growth, driven by new player recruitment and our focus on the delivery of exceptional levels of service and entertainment to casino players.
"Initial trading from our Italian casino is encouraging and supports our confidence in the longer term opportunity. As ever, we continue to monitor other regulatory developments around the world."
The Group will announce its preliminary results on Thursday, 21 March 2013.
23 January 2013
Enquiries:
32Red Plc | Tel: 00 350 200 49396 |
Ed Ware, CEO |
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Jon Hale, Finance Director |
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Numis Securities Limited | Tel: +44 (0) 20 7260 1000 |
Chris Wilkinson (Corporate Broking) |
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Michael Meade (Nominated Adviser) |
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College Hill | Tel: + 44 (0) 20 7457 2020 |
Jamie Ramsay |
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Mark Reed |
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