OPAP reports fall in revenue for Q3
The Greek gambling group reported revenue of €481m.
Greece.- The Greek gambling group OPAP has reported Q3 revenue of €481m. That’s a drop of 3.6 per cent year-on-year. EBITDA and net profit were also down, but the company said performance had been healthy.
Lottery continues to be the main generator of gross gaming revenue but its contribution fell by 8 per cent to €166m due to fewer jackpot roll-overs in Tzoker. Betting revenue was down 7.8 per cent at €144m due to the range of events and sports results. However, there was an increase in customers.
Video lottery terminals (VLTs) revenue rose 2.3 per cent to €82.9m, and online casino revenue rose 13.4 per cent to €62.5m thanks to higher engagement levels and cross-playability with sports betting. Instant and passives revenue fell 1.7 per cent to €25.6m.
EBITDA fell by 26.4 per cent to €145.4m. Revenue in the nine months to 30 September stood at €1.51bn, up 7.8 per cent year-on-year.
CEO Jan Karas noted several developments in Q3 intended to promote long-term growth, including the growth of Opaponline.gr online lottery and the revamp of OPAP draw.
He said: “OPAP reported a healthy performance in Q3, marked by continuing online growth, despite tough year-on-year comparatives and headwinds against the top line. During the quarter, we remained focused on implementing our strategic priorities, aiming to further enhance our product portfolio and strengthen our online business.
“Opaponline.gr, our new ilottery proposition, continued to record double-digit growth rates. Emphasis was given to the revamp of our draw-based games. The recent repositioning of lotto as an annuity game has been welcomed by our customers and agents, delivering encouraging initial results.
“As we are moving towards the end of the year, we remain confident that our resilient business model will continue to generate strong returns for our shareholders, while delivering on our sustainability and social responsibility commitments.”
Last month, OPAP said it would appeal against a €24.5m fine issued by the Hellenic Gaming Commission for breaches of Greek law. The regulator said OPAP had abused its strong position in the Greek gambling market.
The gambling regulator ruled that OPAP had breached Articles 1 and 2 of Law 3959/2011 on the protection of free competition. Article 1 prohibits the fixing of purchase prices, limits on investment opportunities or application of unfair conditions to transactions. Article 2 states that companies must not abuse a dominant market position and bans the imposition of unfair prices or limits on the distribution of technical equipment.
