Playtech Surges Forward

Published Thursday, March 19, 2009 -

Playtech surged forward as they published the results of their economic picture to date. The online gambling software developer posted a profit prior to taxation of 41.45 million Euro, up from 26.83 million Euro from 2007 earnings. The group attributed this surge to strong organic growth of its existing licensees and the expansion of its portfolio through additional licensees. Playtech lost almost 40% of it's net worth in one day when the U.S.A. banned online gambling. Now a strong comeback is evident. Management advised that the first 11 weeks of 2009 had shown revenues up 2.3 percent on the 2008 average.

Adjusted net profit rose 79% and annual revenues soared 70%. Casino and poker revenues were up 68% and 73% respectively.

Playtech's Board and management took great comfort from the positive response investors demonstrated to the Group's placement of new ordinary shares in June 2008 raising £112 million before expenses (€141 million) and underlining confidence in the Group's ability to deliver high quality sustainable growth. Given the state of financial markets at the time of the placement, this was an impressive achievement and clearly demonstrated Playtech's value proposition. At the time of fundraising the Company earmarked the proceeds for future acquisitions.

Playtech has continued to work closely with its partner customers to develop and launch new products tailored to particular markets. The Group constantly seeks to improve the products on offer to licensees; accordingly, a dedicated new games software development unit has been established which will significantly increase the number of games released to the licensees.

Mor Weizer, Chief Executive Officer for Playtech said " I am pleased to present Playtech's financial results for the year ended 31 December 2008. Once again Playtech has continued to grow from strength to strength both in terms of revenues and profits."

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