AGM Trading Update

Playtech plc (LSE: PTEC) is pleased to report on trading for the period from 1 January 2024 to 30 April 2024.

Overview

Playtech delivered a solid trading performance during the period with strong underlying trends, partly offset by the impact of customer-friendly sporting results.

Divisional review

B2B

Playtech's B2B division performed well during the first four months of 2024, driven by a combination of revenue growth in regulated markets and benefits from tighter cost control.

Growth in regulated markets was led by the Americas with the US and Canada increasing their contribution, albeit from a small base, while Mexico and Colombia continue to perform well.

Live continues to take advantage of the market's rapid expansion, delivering solid growth in the period, while Casino is also showing strength. The higher margin, less capital-intensive SaaS business showed continued momentum with strong revenue growth, further launches and new customer signings.

B2C

Snaitech performed well on an underlying basis, with wagers showing strength across both the online and retail betting segments. This was achieved despite tough comparatives in 2023, which benefitted from pent-up demand post the football World Cup.

As has been well-flagged by industry peers, strong volumes have been partly offset by customer-friendly sporting results in Italy. Notwithstanding this, we remain well-positioned to continue to benefit from the structural shift to the higher-margin online business in Italy.

Caliplay update

Caliplay remains a highly important customer and Playtech continues to maintain an open dialogue with Caliplay to discuss a path forward, although fees owed to Playtech remain uncollected. While the Company believes it has visibility over substantially all of the revenue generated by Caliplay's business, and as such, can confirm that Caliplay continues to perform strongly, Playtech has been unable to obtain full financial information from Caliplay during the period. As a result, the revenue generated from the additional B2B services element of the agreement is partly based on an estimation, which takes account of prior trends and information provided.

Board change

As previously announced on 25 April 2024, Doreen Tan will join the Board as an Independent Non-executive Director on 9 July 2024, bringing a wealth of experience over a career spanning more than 30 years, gained at some of the world's leading financial institutions.

Summary

Given the strategic progress being made across the business, the Board remains confident in Playtech's ability to execute on the exciting growth opportunities across both B2B and B2C divisions over the medium term.