Bingo now produces more revenues than poker for iPoker owner Playtech according to a Q1 trading statement.
Poker revenues fell 18%, while Bingo rose 9% compared to the same quarter in 2012. Bingo now produces €4.8m compared to poker’s €4.4m. Both are dwarfed by Playtech’s total revenues of €87.5m—up 16% on the same basis.
Main revenue generators are Casino at €44.1m and Services at €26.3m. CEO Mor Weitzer trumpeted the deal with Ladbrokes as one of the major achievements of the period; “Our landmark transaction with Ladbrokes, under which Playtech will provide its full product suite and marketing advisory services, clearly demonstrates Playtech’s unique position.”
The innovative deal will see Ladbrokes move to iPoker and use many of Playtech’s back office services. William Hill has bought back Playtech’s stake in William Hill Online, but remains a customer of Playtech’s strong Services team.
That buyback deal made a “cash-on-cash return of more than 3.5 times, excluding software royalties.” In plain words, Playtech made a very big return on its investment. William Hill booked an 8% rise in its own Q1 profits, so they too have done well out of the relationship.
A 1.5% fall in the share price accompanied the statement’s release but investors will still be pleased with Playtech which is up 46% since the start of the year.