Proactive Investors - Run By Investors For Investors
Why invest in NKTN?
Nektan PLC: DEEP DIVE
OVERVIEW

Nektan gaining momentum through 2019

In a third quarter trading update on 5 April, the firm reported a record performance in its B2B division, which saw revenues rise 75%
Online gambling
OVERVIEW: NKTN The Big Picture
Nektan delivers casino content from the industry's leading game providers to game operators

• Delivers premium casino content to game operators
• B2B and BRC business arms
• E-Lite platform distributes cutting-edge content

What Nektan does

Nektan PLC (LON:NKTN) aggregates and delivers premium casino content from the industry's leading game providers to game operators.

Using its proprietary technology, it delivers either a fully managed white label casino solution to its B2C partners or acts as a content distributor to its B2B partners.

The white label solution is delivered via its Evolve platform, while the E-Lite platform distributes cutting-edge content.

Both platforms leverage Nektan's market bonusing and business intelligence tools.

Inflexion points

• On 17 April, the company completed the sale of a majority stake in US operation Respin. Nektan has sold 57.5% of Respin to Alternative Investment Partners Limited (AIP), a different buyer than originally planned, for £300,000 cash plus the provision of US$800,000 in working capital

• In a third quarter trading update on 5 April the firm reported revenues has risen 5.9% year-on-year. The performance was helped by a record revenue performance in its B2B division, which rose 75% to £350,000

• Nektan said it expects an improvement in trading for the final quarter of its current fiscal year

• In March, Nektan said it had signed up Mo Play, the betting partner of Manchester United football club, to its B2B E-lite platform, which provides gaming operators with more than 700 of the industry's most cutting-edge, mobile-ready HTML5 games content

Blue Sky

Speaking to Proactive in May, Nektan’s chief executive Lucy Buckley said following a 43% reduction in the group’s debt commitments to £6.45mln it was now in a “strong position” with a “firm foundation to really accelerate” its international expansion.

She added that the sale of the group’s majority stake in its US business meant its would still be able to benefit from future revenue growth but Nektan was no longer funding the business and could focus on growing its “core” European and Asian businesses.

“Our focus for the rest of the year is profitability…really focus on that and reducing our debt. We have an established business model and established technology, we just need to increase the number of partners in our distribution”.

With shares trading at 11p as of 10 May, Nektan carries a market cap of £12.1mln.

View full NKTN profile View Profile

Nektan PLC Timeline

Big Picture
May 10 2019

Related Articles

Online gambling
May 10 2019
In a third quarter trading update on 5 April, the firm reported a record performance in its B2B division, which saw revenues rise 75%
Gamers
September 06 2018
The internet gambling company is betting on the 350 million game enthusiasts worldwide who are already wagering billions of dollars annually

© Proactive Investors 2019

Proactive Investors Limited, trading as “Proactiveinvestors United Kingdom”, is Authorised and regulated by the Financial Conduct Authority.
Registered in England with Company Registration number 05639690. Group VAT registration number 872070825 FCA Registration number 559082. You can contact us here.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use