Sign In
16 Jan 2014 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 its trading performance for the year ended 31 December 2013.
2013 Summary
For the fourth consecutive year, the Company announces record annual revenues, up 21% to £38.8m in 2013 (2012: £32.1m).
Total Revenues | 2013 | 2012 | 2011 | 2010 |
Casino | £35.6m | £30.0m | £23.3m | £15.7m |
Other products | £2.0m | £2.1m | £1.7m | £1.2m |
Total Underlying Revenue | £37.6m | £32.1m | £25.0m | £16.9m |
Italy | £1.3m | - | - | - |
Total Revenue | £38.8m | £32.1m | £25.0m | £16.9m |
Underlying Casino Performance
32RedKey Performance Indicators | 2013 | 2012 | 2011 | 2010 |
Revenue | £34.6m | £28.7m | £21.8m | £14.8m |
Active players | 71,266 | 57,338 | 39,687 | 28,585 |
New players | 38,033 | 41,918 | 27,648 | 19,505 |
Yield per active player | £485 | £500 | £550 | £519 |
Cost per acquisition | £156 | £147 | £143 | £133 |
Overall performance continues to be dominated by the ongoing growth in the 32Red Casino. The 24% growth in active players reflects the improved focus on CRM, supplemented by increased marketing expenditure and new player recruitment in the second half of the year. The 32Red mobile casino continues to flourish with revenues up 136% on 2012, representing 21% of total casino revenues (2012: 10%) and attracting approximately one third of all new players.
32Red.it
Revenue generated from 32Red.it totalled £1.3m in 2013 (2012: nil). The business from Italy continues to grow steadily with H2 Revenues of £0.8m, up 84% on the first half of 2013 as customer awareness continues to grow. As expected, the yield per active player is significantly less than the more established underlying business, but is expected to grow naturally as the market in Italy develops and new products are approved by the Italian regulator, AAMS. We also hope to see a benefit from unregulated operators withdrawing from the market as the new rules are enforced.
The sustained growth in the underlying business enabled the Company to increase its investment in Italy, while still delivering profits in line with management expectations for 2013.
Current Trading and Outlook for 2014
Early trading in 2014 has been strong across the Company's products with Gross Win for the first fourteen days in January up 10% on the corresponding period in 2013.
Commenting on the performance, Ed Ware, CEO of 32Red, said:
"I am delighted to report a fourth successive year of double digit revenue growth. Our 32Red casino product continues to go from strength to strength and the 24% growth in active players is testament to our focus on delivering a second to none customer service across platforms.
Trading momentum has continued into 2014 and I am confident that our recent step up in marketing investment, increased focus on CRM and the bolstering of our board leave us well placed to make further progress in the year."
The Group will announce its preliminary results on Thursday, 6 March 2014.
16 January 2014
Enquiries:
32Red Plc | Tel: 00 350 200 49396 |
Ed Ware, CEO |
|
Jon Hale, Finance Director |
|
|
|
Numis Securities Limited | Tel: +44 (0) 20 7260 1000 |
Chris Wilkinson (Corporate Broking) |
|
Michael Meade (Nominated Adviser) |
|
|
|
College Hill | Tel: +44 (0) 20 7457 2020 |
Jamie Ramsay |
|
Mark Reed |
|
Follow the stocks
