NYX Q2-2017 results show continued strong performance

Toronto-listed online gambling supplier NYX Gaming has posted another strong quarterly for the three months to end June 2017, reporting double-digit growth in revenue, with a significant improvement in the contribution from subsidiary Openbet.

Highlights from the report include:

* Revenue up 73.3 percent year-on-year at Cdn$ 61 million;

* Contribution to revenue from Openbet up significantly at Cdn$ 32.9 million (Cdn$ 16.5 million a year ago);

* Royalty and licence revenue up 53 percent at Cdn$ 31.9 million;

* Revenue from professional services up 142 percent to Cdn$ 28.8 million;

* Social gaming revenue down Cdn$ 2.2 million at just Cdn$ 300,000 (the play money business was closed in June this year);

* Gross profit at Cdn$ 52 million on margin of 85 percent;

* Adjusted EBITDA up 66.7 percent at Cdn$ 17.5 percent (Q2-2016: Cdn$ 10.5 million);

* Net loss reduced to Cdn$ 21.1 million (Q2-2016: Cdn$ 36.5 million); the losses were incurred mainly through interest payments of Cdn$ 11 million associated with the grouip acquisition strategy;

* 13 new OGS content clients were signed, and 18 new OGS-OPS client signed up in the quarter, with a strong circa 36 pipeline.

CEO Matt Davey reported:

“We saw positive momentum in the second quarter with sequential improvement in revenue, adjusted EBITDA and adjusted EBITDA margin from the prior quarter. Our development pipeline remains strong and we continue to sign new customers at a steady rate, as our sportsbook, gaming and content offerings are resonating with customers and driving scale and operating leverage in our business.”

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