International gaming technology platform and services provider Nektan has released its trading update for the final six months of 2019 which reveals extensive B2B growth and a continuing review of its CEO role.
This follows on from the appointment of Gary Shaw as interim last year as the firm strived to achieve stabilisation amid a focus on international expansion.
Nektan’s B2B growth saw the group generate revenues of £787,000 in H1 FY20, representing a growth of 153.1 per cent over H1 FY19.
Shaw commented: “The restructuring represents an important milestone for Nektan. We can now focus on executing our strategy of becoming a dedicated casino technology and gaming content provider globally. These initial results support the directors’ decision to focus solely on B2B opportunities.
“Trading for the six months to 31 December 2019 saw the group achieving more than double the revenues for the same period last year. The last few months have seen an intense period of activity culminating in now having 34 sites live.
“With the majority of these going live at the back end of the calendar year, combined with a 3-4 month ramp up period, we expect to report further significant revenue growth during the current quarter (Q3 2020) – early signs in January underpin this. As a result, the group continues to anticipate reaching monthly EBITDA break-even by the end of this financial year.”
Q2 FY20 also saw an intense period of activity with a significant number of sites either entering beta or going live resulting in revenue in December 2019 growing by 102.7 per cent over November 2019.
Furthermore, the group has now become live in multiple markets across Europe, Africa and Asia, with Latin America set to be launched in Q3 2020. The board also reported that it has launched a further 6 sites in January 2020 that were in beta in December 2019.
The group is now live in multiple markets across Europe, Africa and Asia, with Latin America to be launched in Q3 2020. Nektan launched a further 6 sites in January 2020 that were in beta in December 2019, with a further pipeline of 21 confirmed and are currently due to be launched over the coming months
The restructuring of the group in the second half of last year subsequently rendered the group unable to publish its full-year results, as a result of which trading in its shares was suspended. Following the publication of the full-year results, Nektan has seen the listing of its shares restored on AIM.
Total revenue for the year ending June 30, 2018, came in at £22.6m (2018: £19.8m), with earnings lengthened to £2m from £1.3m and loss before tax deepening to £6.4m (2018: £5m).