Playtech PLC (LON:PTEC) is today hosting its Annual General Meeting (AGM), with the company publishing a statement that its Chairman, Alan Jackson, will make.
The statement includes a brief update on the recent developments at the company, including its financials division (Markets Limited), which was established after the acquisition of TradeFX (which includes the Markets.com and TopOption brands). As per LeapRate’s earlier report, the fourth quarter of 2015 was challenging for the financials division. The unit had revenues of EUR 21.8 million in the final quarter of 2015, down 20.7% from the revenues of EUR 27.5 million reported in the third quarter of 2015.
In today’s statement, Mr Jackson highlights the changes made to the financials division’s business model. Following these changes, the unit is performing in line with expectations, he notes.
Below is the full statement from Alan Jackson:
“I am delighted to say that the momentum that Playtech enjoyed in 2015 has continued into 2016.
Growth in daily average revenues in the Gaming division in 2016 remains in line with the growth experienced in the first 53 days of the year as reported at the time of the 2015 full year results in February. We also look forward to the new licensee wins that we secured in 2015 contributing to our future growth and our pipeline of new opportunities remains very strong, with significant wins expected in 2016.
Following improvements made to the business model during Q4 2015, the Financials division has performed in line with our expectations against the backdrop of high market volatility in January and February driving a strong start to the year followed by a period of lower volatility from March onwards.
Our pipeline of M&A opportunities remains healthy with active discussions in the Gaming division as well as discussions for selective bolt-on acquisitions in the Financials division. As we stated at the time of our 2015 full year results, should suitable acquisitions not be available, consideration will be given to returning cash to shareholders as we look to maintain an efficient capital structure.
We remain confident of continued success and strong growth in 2016 and beyond.”
You can view the full announcement from Playtech by clicking here.