Gaming Realms narrows loss in first half
Gaming Realms
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16:49 26/04/24
Developer, publisher and licensor of mobile real money and social games Gaming Realms saw revenue rise to £15.7m in its first half year-on-year, from £14.9m a year earlier, with its adjusted EBITDA loss narrowing to £0.9m from £3.6m in the first half of 2016.
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The AIM-traded firm said it was on track to deliver a result in line with the board’s expectations for the year as a whole.
During the period, Gaming Realms agreed new B2B content licenses for its Slingo Original portfolio of games in New Jersey, including with Caesars Interactive Entertainment, GVC, Resortscasino.com, Pala Interactive and Rush Street Interactive.
It also launched new white label real money gambling sites Dealornodealcasino.com and Loveislandgames.com in partnership with ITV and Storm Games.
The company also said the integration of its social business resulted in “significant” cost savings in the period.
“With the H1 2017 adjusted EBITDA loss significantly reduced to £0.9m, the board remains confident in its strategy and is on track to achieve the Board's expectations for the year as a whole,” Gaming Realms’ board said in its statement.
“The board anticipates the company will achieve significant positive EBITDA in the second half of the financial year with increased revenues, seasonal marketing costs reduced, and a full period of benefits from the integration of the social business.
“To support this growth, the company anticipates raising approximately £1m from investors in the relatively short term.”
Gaming Realms also announced the deferment of a final payment to RealNetworks, over the asset purchase agreement entered into between the two companies in August 2015.
The original agreement provided for a $4m final payment to be made to RealNetworks by 10 August 2017, but under the deferment, a final payment of $4.5m would now be made by 15 December 2017.
Gaming Realms said it would be negotiating “suitable” longer term debt financing to settle the sum in advance of that date.