OPAP improves finances in second quarter

Gross profit totalled €152.3 million in the second quarter, which is a 8.6% year-on-year increase.
Gross profit totalled €152.3 million in the second quarter, which is a 8.6% year-on-year increase.

The Greek gambling monopoly OPAP has reported that in the second quarter of 2019, it registered a 6.5% increase in revenues.

Greece.- OPAP, the gaming operator from Greece, has announced its consolidated financial results for the three-month period ended June 30. Gaming gross revenue (GGR) rose 6.5% to €383.6 million thanks to VLTs contribution and higher lottery performance.

Gross profit totalled €152.3 million in the second quarter, which is a 8.6% year-on-year increase. The Greek gambling monopoly said that revenue growth is bringing in higher profitability expansion. EBITDA in the three-month period came in at €87 million, which is a 24% increase year-on-year.

Moreover, operating expenses in Q2 declined by 6.7% at €74.4 million. This was mainly as a result of reduced IT costs following the conclusion of the IT transformation project. Net profit in the second quarter was €34.6 million, an increase of 32.2%.

The CEO’s word

OPAP CEO Damian Cope said: “I’m happy to report another set of satisfying results for OPAP in the second quarter. They were driven by a continuation of the good trends we saw in Q1. Solid GGR growth was led notably by VLTs, a resilient Lottery performance and the underlying improvement of our sportsbetting product. All of this despite tough comparables given the World Cup contribution in June 2018. Sustained cost management across the company delivered even better profitability growth despite various one-offs in the period.

“The delivery of our 2020 Vision and the transformation of OPAP into a world-class gaming entertainment company continues apace with further improvements being seen across every part of our business,” he added.

Moreover, Cope said that in just the last three years, OPAP has succeeded in renewing or upgrading over a third of its large retail network in Greece. “We’re very encouraged by the positive performance and customer reaction in these new, larger venues,” he explained.

Cope also highlighted that online remains a key area of focus as they further develop their dual strategy, via OPAP Online and the investment in Stoiximan Group. “We are seeing good growth in the customer bases of both operations and are confident that we will continue to see growth from both businesses for some time to come. Overall, the OPAP Team delivered a solid performance in the first half of 2019. We all believe we can sustain this momentum for the rest of 2019 and successfully fulfil our targets.”

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finance Greece OPAP