OPAP feeling the heat

In its third quarter report for the period ending September 30, 2015, Greek gaming firm OPAP posted a 13 percent decline in gross gaming revenue to Euro 300.9 million, a decline in EBITDA of 7.6 percent to Euro 87 million and an 8.5 percent fall in net profit to Euro 49.1 million, driven it says by unprecedented consumer spending patterns in July.

Third quarter stakes declined by 15.7 percent to Euro 900.8 million impacted primarily by the deterioration of consumer spending in July, the company said, but had recovered slightly in August and September.

“Q3 2015 was marked by unprecedented conditions in a tough domestic macro-economic environment,” commented Kamil Ziegler, chairman & chief executive officer of OPAP. “Consumer spending in July 2015 stood on the edge of the fiscal cliff, while our efforts towards securing our business, together with gradual sentiment normalization led to a recovery in the remaining part of the quarter.

“Overall, we were able to contain the drop to single digit on an EBITDA level, while OPAP still managed to grow in all metrics on a year to date basis.”

Looking ahead, Ziegler cautions that the outlook of the macro environment remains fragile with the company facing considerable challenges. “We therefore remain absolutely focused on defending and exploiting our established rights on every possible front.”

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