Stride FY profits set to top £7m
Online bingo operator says both momentum of existing business and early performance of recent social gaming acquisition are encouraging
Multi-brand operator Stride Gaming said full year EBITDA is set to top £7m in a trading report this morning due to strong organic growth and the success of its recently acquired mobile social games business.
The board also said that net gaming revenue for the financial year would not be less than £25m, adding that the full results for the year ending 31 August would be announced at the end of November.
The November report will be the firm’s maiden full-year results after it listed on AIM in May, when the firm also reported a 173% surge in year-on-year H1 revenues.
“The second half of the financial year has continued to see strong organic growth within the business,” Stride said in a statement.
“The board is encouraged not only by the momentum in its existing business, but also by the encouraging initial indications from the recently acquired internationally focused mobile social gaming company, InfiApps Limited,” it added.
Stride acquired InfiApps for £25m last month as it looked to expand its mobile offer, expecting the acquisition to be immediately earnings enhancing after the firm reported profits of US$2.3m in 2014.
But it appears organic growth has been the main driver of the recent rise in revenues, with 2015 H1 net gaming revenues of £11.7m meaning H2 revenues of at least £13.3m, representing half-to-half growth of at least 14%.