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Trading at Smurfit Jr's Gan expected to be ahead of market expectations

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Dermot Smurfit Jnr

Dermot Smurfit Jnr

Dermot Smurfit Jnr

Trading at Dermot Smurfit Jr's Gan is expected to be ahead of market expectations, with revenue of between £10.5m (€12m) to £11.3m (13m).

This compares with revenue of £9.1m (€10.4m) for 2017 at the gaming software company.

The result was primarily driven by real money internet gambling, which in the second half of 2018 saw revenue increase by more than 40pc over the first half of 2018.

Recurring revenues represented approximately 85pc of total revenue for the period, with almost two thirds originating from the US, the company's key geographic market, Gan said in a trading update.

The group ended the period with a strong debt-free balance sheet with £5.3m in cash as at December 31, 2018.

Earnings before interest, taxation, depreciation, and amortisation losses for the year are expected to be between £1m and £1.5m, due to what the group said was continued investment in technical development resources throughout the second half of 2018.

Looking forward, Gan said the outlook remains "highly positive" due to continued and rapid growth in real money internet gambling delivered for clients in both the US and European markets. 

"The company therefore expects the strong momentum achieved during H2 2018 to continue into FY 2019," Mr Smurfit, CEO of Gan, said.

"As such, management expects mid to high double digit percentage year on year revenue growth in FY 2019  and full year positive EBITDA, based on the current fixed cost base."

Online Editors