- GCV Holding released its first half of the year performance and unsurprisingly the revenue took a hit because of shutdowns and closures.
- The online revenue grew while people were stuck at home and the company found itself well-positioned for the rest of the year.
- With GCV expanding in US gambling markets, reopenings, and sports returning, the company should see a great rise in revenue in the second half of the year.
LAS VEGAS - GVC Holdings has suffered revenue loss but also experienced a surge in online gambling according to the Interim results released on Thursday.
The Ladbrokes and Coral-owner reported its first-half performance and believes that it is in a good position for further growth as the year goes on despite some key losses.
The revenue fell 11% and the company suffered a 13% slump in gross profit in the first half of this year because of the effects of the coronavirus pandemic.
In the UK, the closing of betting shops led to a 50% drop in retail revenue. This year European betting shops as a whole made 48% less than in the first half of last year.
On the contrary, online revenue spiked 21% while people have been stuck at home. There was a 31% growth in the amount of gambling done online.
“Given the unprecedented trading environment, GVC has delivered an encouraging performance in the first half, underlining the strength of our diversified business model and the expertise, adaptability and dedication of our people.” said Shay Segev, CEO of GVC.
Last month GVC committed another round of investment in BetMGM as it is becoming a leading competitor in the US online gambling and sports betting market.
The company has directed a lot of focus on growing and expanding in the US market, especially at a time with the rapid growth of sports gambling in the country.
“Our industry-leading technology will enable us to grow responsibly and sustainably, using our data-driven customer insights to ensure all of our customers have an enjoyable and safe experience while gaming with us,” said Segev. “That is how we will deliver greater and more sustainable value for all our stakeholders.“
GVC believes it is at a good place in terms of revenue due to the strong results from online gaming, the re-opening of land-based operations, along with the return of major sports.