Playtech reported that its solid performance was driven by B2B online growth, particularly Latin America and Snaitech. Highlighting its success, the company said the revenue growth more than offset hurdles encountered as a result of the COVID-19 pandemic. In particular, the B2B gambling segment grew by 11% to €554.3 million compared to €494.8 million a year earlier.
Group’s CEO Mor Weizer highlighted to investors the firm’s dominance across nascent Latin American markets as the group’s joint-venture partnerships continue to dictate the state of play.
Of significance, Playtech has soft-launched Galerabet (Galera.bet), building its sportsbook provisions in preparation for imminent federal changes to Brazil’s gambling laws.
“This is an exciting agreement for us. Galerabet is the official sponsor of three major football clubs in Brazil, including the historic Corinthians, and is also the partner of one of the most popular TV channels in Brazil,” comments Weizer.
“As with others, the Galerabet includes the customary software licence agreement as well as an option on a non-controlling equity stake in the business,” Weizer adds.
CFO Andrew Smith explained the group’s LatAm growth strategy focused on securing localised structured agreements (joint ventures), in which it had reserved “£63m to pursue strategic initiatives in LatAm, the US and live gaming.”
Underlining its LatAm strategy, Weizer stated: “Our focus in Latin America remains on structured agreements. Caliente in Mexico continues to go from strength-to-strength, and is now our outright global customer. The growth of this business is amazing and continues into 2022. Meanwhile, WPlay Colombia has accelerated its growth since its migration to our software. These businesses I have no doubt will be significant contributors to our revenues going forward.”
Playtech also stated it was still in talks with an investor group over a potential takeover proposal after shareholders rejected a US$2.84 billion offer from Australia's Aristocrat Leisure last month.
Source: GMB
