Bwinparty Sees Year-On-Year Revenues Fall 6%; Poker Plummets
Takeover target bwinparty digital entertainment plc released its 2015 first quarter financial figures last week and they made sorry reading, with year-on-year figures falling across six of seven key Performance Indicators (KPIs).
Active player days (11%), Daily average players (11%), Yield per active player day (2%), Real money sign-ups (11%), Unique active players during the period (14%) and Average net daily revenue (13%) all fell when compared to Q1 of 2014 with only Yield per unique active player in the quarter increase and that by one a single percent.
The most significant falls came from the poker division which saw average net daily revenue plummet by 31% while real money sign-ups crashed through the floor with 37% fewer than Q1 of 2014.
Explaining the dramatic fall of its poker financials, a statement to the London Stock Exchange read: “Our year-on-year performance for the first quarter confirms the challenging environment in European poker. Net revenue was down versus the previous quarter following a marketing promotion in the UK and a change to the player reward programme that has been well received but which meant that there was an increase in bonus costs during the period.”
Despite the poor figures, the share price of bwinparty remained buoyant thanks to the dual £1 billion takeover bids from 888 Holdings and the joint venture of GVC Holdings and Amaya. Its share price was 106.70 pence at close on May 22 valuing the gambling giant at £878.48 million.