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French casino up to market standards in Q1 2011

Bet-At-Home, an online gambling subsidiary of the BetclicEverest group in France, has reported a positive Q1-2011, with sales and betting growing by 36% to €427.2 million. Key performance indicators released by the company included:

  • Rise in betting and gambling sales by just under 36% to €427.2 million

  • Gross gaming revenue (GGR) up by 32.5% to €18.3 milion

  • Net gaming revenue (GGR - betting tax) rose by 18.9% to €16.3 million

  • Advertising spend of circa €8 million (previous year: €6.7 million)

  • Rise in EBITDA by 47.1% to €3.8 million

  • Group income rose by 28% to €2.5 million

The company reported a decline in cash on hand to €26.6 million vs. Q4-2010, which it said was due to the issue of a loan of €14 million to major shareholder Mangas. The loan is for one year at a 3% interest rate.

By the end of Q1/2011, 2.37 million users were registered (a rise of 113,000 vs.Q4/10)

It is worth noting that there is a clear difference between GGR (€18.3 million) and net gaming revenue (GGR minus betting tax; €16.3 million). This difference can be traced back to the taxation of betting and gambling sales in Austria since 1 January 2011, where casino products are taxed at 40% of GGR, and sports betting at 2% on the bet.

Analysts have treated the results with respect, noting that Bet-At-Home can be expected to expand its cash and cash equivalents (after repayment of the loan, excl. customer funds) to around €42 million by the end of the year, and that the share price is undervalued.

Source: InfoPowa News

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