Gaming Realms has global ambitions as gaming content market booms
Last updated: 15:53 05 Feb 2024 GMT, First published: 10:47 09 Apr 2021 BST
Snapshot
- Gaming Realms hails another year of double-digit growth
- How Gaming Realms is Slingo-ing its way into new markets
- Gaming Realms looks ‘bright’ after double digit sales growth
- Gaming Realms records 12th successive half year of growth
About the company
Gaming Realms PLC creates and licenses innovative games for mobile, with operations in the UK, U.S. and Canada.
Through its unique IP and brands, Gaming Realms is bringing together media, entertainment and gaming assets in new game formats.
The Gaming Realms management team includes accomplished entrepreneurs and experienced executives from a wide range of leading gaming and media companies.
How it is doing
Gaming Realms PLC (AIM:GMR, OTCQX:PSDMF) said its performance in 2023 was “exceptional”, with revenue and earnings continuing to grow at double digits, in line with expectations.
Reflecting strong content licensing, including 44 new partners across the group's markets, and seven licences in North America, revenue came in at roughly £23 million for the calendar year, an increase of 23% compared to last time.
The pre-close trading update from the mobile-focused gaming specialist also revealed that adjusted earnings (EBITDA) is expected to be no less than £10 million, which would represent 28% growth year-on-year.
Chief executive Mark Segal said this level of growth “underscores the strength and appeal of our gaming content in the global market”.
Gaming Realms PLC (AIM:GMR, OTCQX:PSDMF), the developer and licensor of mobile-focused gaming content, supercharged its brand licensing division to lift total revenues by 36% to £11.5 million in the first half of 2023.
Though brand licencing is the AIM-listed group’s smallest revenue stream, the 222% surge in sales made it easily the fastest-growing segment, with the core content licencing segment also enjoying a 37% uplift.
Gaming Realms PLC (AIM:GMR, OTCQX:PSDMF), the gambling software developer, spiked nearly 9.5% on Thursday after comforting analysts with news it's on track to achieve its revenue growth targets.
Predicting a 34% spike in first-half revenues, the Slingo owner impressed analysts at Peel Hunt Ltd (AIM:PEEL), who reckons full-year sales will grow by 22%.
Insight: How Gaming Realms is Slingo-ing its way into new markets
Gambling isn’t legal across the whole of America yet but having lifted a 1992 ban in 2018 many US States are beginning to approve online, in-person and sports betting and companies are starting to make the most of the untapped market.
Paddy Power parent group Flutter Entertainment PLC (LSE:FLTR) and Ladbrokes owner Entain PLC (LSE:ENT) both have significant interest in the US, owning sportsbooks FanDuel and BetMGM respectively and according to recent trading updates, both believe it is a market set to boom.
What the brokers say
Gaming Realms PLC (AIM:GMR, OTCQX:PSDMF), the slot games creator, has a “bright” future, according to its house broker, after it reported another year of double-digit revenue growth in 2023.
Peel Hunt reiterated its ‘buy’ recommendation for the AIM-listed group and said the company’s guidance for the 2023 financial year was “consistent” with its own forecasts.
Revenues rose by 23% to £23 million, representing another year of growth greater than 20%, while underlying earnings are expected to be at a minimum of £10 million.
What management says
Gaming Realms PLC (AIM:GMR, OTCQX:PSDMF) CEO Mark Segal speaks to Thomas Warner from Proactive after publishing interim results that show the mobile-focused gaming content developer and licensor grew for the twelfth consecutive half-year.
Segal gives an overview of the business' performance during the six months to 30 June, highlighting a 37% surge in adjusted EBITDA in the latest period and suggesting that the latest interims reflect a continuation of a long-established strategy that continues to serve the company well.
Looking ahead, Gaming Realms aims to tap into new markets, with plans underway for expansion into Greece and South Africa, aligning with the existing strategy of international expansion and the development of new uses for its Slingo platform that combines elements of slots and bingo.