GVC Holdings has upgraded its full-year guidance after a positive start in the US market helped offset slower growth in online gaming.
The full-year guidance range for the owner of Ladbrokes Coral move its range up to between £670m and £680m, from £650m and £670m, after a Q3 that saw online net gaming revenue grow 12 per cent, despite the comparative period last year including the latter stages of the World Cup.
Like-for-like revenue in retail was down 18 per cent, driven by the cut in maximum FOBT stakes, while the firm described an “encouraging” start in the US following the launch of the BetMGM mobile app in New Jersey.
GVC also successfully refinanced £1.125bn of debt.
CEO Kenneth Alexander said: “I am delighted that the Group’s financial performance has allowed us to upgrade our full year EBITDA expectations again. Online momentum remains strong across all major territories, with NGR up 12 per cent in the quarter despite the prior period containing part of the World Cup. This performance continues to be driven by our industry-leading technology, products, brands, marketing capability, and people.
“The launch in September of the BetMGM app in New Jersey, powered by the GVC technology platform, is a key milestone, and our US sports-betting joint venture with MGM Resorts remains very well-placed to capitalise on the US sports-betting opportunity. The integration of the Ladbrokes Coral businesses is progressing well with the migration of the Ladbrokes, Coral and Gala online brands due to commence in Q4 and complete by the end of H1 2020.
“Finally, we were delighted to recently launch the GVC Global Foundation, which will coordinate and support GVC’s CSR initiatives around the world. This should be taken as a clear sign of our determination to spearhead the gambling industry’s approach to CSR initiatives, particularly with regard to responsible gambling.”