A financial update by mobile wagering software developer Probability plc shows positive results, noting boosted revenues for the six month period ending September 30th.
Key financial indicators and highlights for the period of April 1st through September 30th, 2012 were:
Net gaming revenue ("NGR") increased 38% to £4.53 million (H1/FY2012: £3.27million).
Cash deposits by customers are up 44% compared to the 6 month period ended September 30, 2011.
Unaudited pre-tax loss for the period of £658,000 (after expensing marketing investments of £1.87 million in the period and the direct costs and amortization associated with the acquisition and operation of Playyoo during the period of approximately £275,000). (H1/FY2012: loss £88,000)
Cash and cash equivalents at the end of the period were £685,000 following intensive marketing investments towards the end of the period. (H1/FY2012: £2.23 million).
Adjusted EBITDA loss of £287,000 for the core UK business, after removing costs related to Playyoo and share option charges.
The company said its acquisition of Playyoo has accelerated its entry into the Italian regulated gambling market where it was recently awarded licensure from AAMS . A white label offering is planned for launch in the Italian market to complement Probability's existing B2B service in the UK in the near future.
Probability doubled its client base for white label offerings, which now has 29 brands live, of which half of these were recruited in the last six months. Deposits from White Label players were reported as 45% higher in the period compared to the same period last year.
Its B2B division delivered continued growth with the Company entering into a new B2B agreement with 888 Holdings in a mobile game supply deal which will see its games integrated into 888's Dragonfish platform.
Probability's " LadyLuck's iPhone app ", which was accepted into the UK Apple App Store, is reported to have been frequently listed in the top three downloads of its category.
Commenting on the results Probability plc CEO Charles Cohen said:
"We remain determined to capitalise on our first mover advantage in mobile gambling and we believe this market is now at a tipping point."
"The transition of mobile gambling from an early-adopter niche to mass marketability is a fact, not an aspiration. The ongoing success of our TV advertising and Facebook promotions attest to this."
"Our ability to grow will no longer be constrained by the size of the market or the limited scope of regulation in our main markets."
"We have the proven technology, the expertise, the regulatory status, the talent and the resources to take a sizable portion of what will clearly be a major part of the global gambling business over the next few years."
"We are rapidly building Probability to be both big and profitable, a balanced and truly international leader in regulated gambling markets."