Bookie Company GVC Improves Gambling Revenue in 1st Quarter
GVC, the owner of Ladbrokes, reported positive gains in all territories. GVC improves gambling revenue by 8 percent in the first quarter. Although its UK retail revenue remained flat, its European market shares were up two percent. Overall, its online net gaming revenue improved 17 percent.
GVC recently reduced the maximum wager amount at its fixed odds betting kiosks. However, the company told gambling industry news reporters that they didn’t see its impact after its implementation last April 1.
The bookie company is confident that it can meet the market expectations on profits for the present fiscal year. Its CEO Kenneth Alexander said the latest fiscal report showed good volume growth in all its major territories and online brands. With the way things are going, the firm is confident it can hit double-digit online net-gaming revenue growth.
GVC Improves Gambling Revenue
The slow growth in the UK and Italy was offset by better margins in other territories. In addition, the CEO said it will take some time before the implementation of the wager restrictions will take effect.
The latest financial report will help bring back market confidence to the company after senior management dumped millions of shares in March. As the company is on its way to double-digit NGR, the financial report provides reassurance to investors.
However, there’s a black spot in the quarterly financial report. Win margins were lower. That means customers had a good run during the first quarter. However, the sportsbook still won in the end because gamblers usually use a large portion of its winnings to place another wager. Pay per head bookie experts know that gamblers’ mentality and how it will take its toll on their bankroll.
Just like a PPH bookie, GVC is hoping to score big during the Grand National weekend. It will help the firm in the long run.