BUSINESS

Playtech has joint venture to thank for figures

TAGs: Playtech, William Hill Online

Playtech releases trading updatePlaytech became the latest company to release their Key Performance Indicators (KPIs) for the first quarter of 2011 and overall the internationally renowned company will be pleased. Compared with Q1 2010 the company’s gross income rose 7% to €46.6m whilst the group’s total revenues were also up by a small amount, 2% to €36.7m compared with the previous year.

The success that the company continues to enjoy is down, in no small part, to their joint venture with William Hill Online (WHO). The share of profit taken from the partnership totalled €9.9m, which was a significant increase of 34% on the previous year’s figure. It was also up 41% on the final quarter of 2010.

Upon the release, chief executive, Mor Weizer commented, We are in late stage discussions with a number of potential major new licensees across a number of jurisdictions both in Europe and elsewhere.

“While there remains some near term uncertainty as to the regulatory development in a number of jurisdictions, such as Germany, we continue to invest in positioning ourselves for whatever long term opportunities come out of such regulation. The recent acquisition of PTTS, with integration well under way, brings us key capabilities and relationships in this regard.”

“The actions taken by the US Department of Justice against certain US-facing poker sites on 15 April has prompted considerable volatility, however Playtech believes that this action will in the longer term have a positive benefit to the iPoker networks both in the dot.com segment and also in the European regulated markets.”

“We have made good progress on the appointment of a permanent CFO and will expect to update the market in due course.”

There is still no news on whether or not a £2.2bn merger between Playtech and Ladbrokes will ever come to fruition but with William Hill taking out an injunction against the company it seems unlikely. The last thing Playtech wants to do is piss off Hills anyway. That’s if they want the JV relationship to continue.

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