Playtech Sees Adjusted EBITDA of over €100 Million in Q1

Playtech (LON: PTEC) on Thursday provided a trading update on its financials for the first quarter of 2022. In the three months between January and March, the company has generated an adjusted EBITDA of more than €100 million.

The online gaming technology provider Technology Provider A technology provider is an individual, company, or entity that creates, render services and sells software applications or hardware. Currently, there are four types of tech providers which are as followed:Software-as-a-Service (SaaS) – Functioning as a subscription-based licensing and delivery model, SaaS is centrally hosted and may also be referred to as on-demand software. Tech Hardware – Powerful tech providers such as Apple, Oculus Rift, FitBit, and Samsung are examples of tech hardware pro A technology provider is an individual, company, or entity that creates, render services and sells software applications or hardware. Currently, there are four types of tech providers which are as followed:Software-as-a-Service (SaaS) – Functioning as a subscription-based licensing and delivery model, SaaS is centrally hosted and may also be referred to as on-demand software. Tech Hardware – Powerful tech providers such as Apple, Oculus Rift, FitBit, and Samsung are examples of tech hardware pro Read this Term highlighted that its positive Q1 run rate has continued through April, but it did not provide any numbers to back that up.

Both B2B and B2C divisions of Playtech are driving its performance in the current months, the company stressed.

As Finance Magnates reported earlier, Playtech ended 2021 with a 12 percent increase in its revenue to €1.2 billion. The adjusted EBITDA for the period came in at €317.1 million, which is 25 percent higher, whereas the adjusted post-tax profit was 366 percent higher at €127.6 million.

“The excellent start to the year gives the Board great confidence in the prospects for FY 2022,” Playtech stated.

However, it pointed out that the board is 'cautious and focused' as the numbers are only for an early stage of the year. In addition, it mentioned the uncertainty of the macro backdrop due to the pandemic and the war in Ukraine.

“The Board is also conscious there cannot be any certainty that the strength across the business so far will be repeated throughout the remainder of the year. That said, the Company's performance to date and current trends in the business positions the Company very well,” Playtech added.

Acquisition Talks

Meanwhile, Playtech is in the middle of acquisition talks with TTB Partners. Also. the company revealed that there has been some positive progress in the discussions with the investor group regarding the acquisition offer, but it does not confirm the deal closure.

Furthermore, TTB Partners subsidiary, Gopher Investment acquired Playtech’s financial division, Finalto, in a $250 million all-cash deal. That deal is expected to be closed by the second quarter of 2022 as the companies have already received two out of four necessary regulatory clearances.