GGRAsia – First half revenue up at Novomatic but profit slips

First half revenue up at Novomatic but profit slips

Aug 27, 2015 Newsdesk Industry Talk, Latest News, World

Austria-based Novomatic Group AG reported record first half revenue of EUR988.2 million (US$1.1 billion), up by 5 percent from the prior-year period. Revenues from both the gaming technology and gaming operations segments went up in the period, the gaming equipment supplier said in its interim financial report filed on Wednesday.

Revenue from the gaming technology segment grew by 6.5 percent year-on-year to approximately EUR418.6 million in the six months to June 30. Revenue from gaming operations segment reached EUR562.1 million, up by 4.2 percent from a year earlier.

The firm reported earnings before interest, taxation, depreciation and amortisation (EBITDA) of EUR290.8 million, compared to EBITDA of EUR289.1 million in the first six months of 2014.

Net profit for the first half of 2015 however declined by 0.5 percent year-on-year to EUR103.5 million, Novomatic said. The company added it had newly hired more than 600 staff during the first half of the year, employing now close to 18,600 staff.

Novomatic operates more than 232,000 gaming devices and video lottery terminals in more than 1,500 outlets including gaming parlours and casinos, according to its website. It sells equipment and offers machines on a rental basis to some operators, including in Asia Pacific markets, such as the Philippines.

“With this semi-annual result we were able to demonstrate once more that our strategy as an internationally active gaming technology group proves to be the correct way to success,” Harald Neumann, chief executive of Novomatic, said in a separate statement about the firm’s results.

“Being a full service supplier to all segments of the gaming industry is one of our primary assets. In spite of aggravated general conditions we were able to increase our revenues,” he added.