Playtech posts 12% year-on-year revenue growth for 2021
Gaming supply giant lauds Americas and performance of B2C brand Snaitech as EBITDA jumps by a quarter to €317m
Playtech has reported full-year revenue of €1.21bn for 2021, representing a year-on-year (YoY) increase of 12%, or 11% in constant currency, on the €1.08bn for 2020.
Adjusted EBITDA was up 25% YoY to €317m, while adjusted post-tax profit surged 366% from €27.3m to €127.6m.
B2B accounted for €554.3m of group revenue, a YoY increase of 12%. This was primarily driven by the Mexican business and in particular Playtech’s long-standing relationship with market leader Caliente.
Revenue from B2C operations rose 11% from €596.3m to €663.7m thanks largely in part to the strong performance of Italian operator Snaitech.
Snaitech saw a 45% increase in online to €229.9m and an adjusted EBITDA growth of 54% to €135.3m.
Snaitech’s online strength offset weaker than usual retail figures (down 23% YoY) given Italy’s lockdown restrictions lasted longer than most of Europe with premises not opening until H2 2021.
Snaitech became the number one operator in Italy in terms of revenue during 2021 in a country where online penetration is relatively low, standing at 27% compared to retail, Playtech said. That number has been accelerated by Covid-19 (11% in 2019).
Snaitech’s total yearly revenue was up 12% YoY, although given the retail losses, it was down 29.5% on 2019’s figures.
The Americas proved to be another strong growth area for the company in 2021, with 2021 revenue up 64% compared to 2020.
Mexico’s leading operator, Caliente, was pinpointed as the main protagonist for this growth, alongside Wplay.co in Colombia, Panama and Guatemala.
The US was earmarked as a significant area of growth. Now licensed in five states, 2021 saw Playtech launch with bet365 and BetMGM in New Jersey and Parx in Michigan, New Jersey and Pennsylvania. Licences have also been granted for Arizona and Mississippi.
In the UK, revenue slumped 15% YoY driven by a previously announced contract alteration with Entain coupled with lower than usual retail figures owing to Covid-19 lockdowns.
Mor Weizer, CEO of Playtech, said: “Our full-year results demonstrate the quality of Playtech’s technology and the momentum across the group.
“Our strong performance is underpinned by our B2B business, in particular the tremendous growth we have seen in the Americas. We have made real progress in the execution of our US strategy, supported by new licences, new launches and new partnerships, and we continue to go from strength to strength in Latin America, buoyed by new strategic agreements across the region.
“In B2C, the story is similar, with Snaitech continuing to outperform the market, achieving the position of the number one brand across sports betting and retail in Italy.
Playtech’s share price on the London Stock Exchange remained flat at 610.50p at the time of writing.
The FTSE 250 company is still the subject of a protracted takeover battle shortly after gaming machine supplier Aristocrat first tabled a 680p offer in October 2021.