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Playtech PLC on Thursday reported a swing to a loss amid lower revenue, but saw its shares climb higher as it said it expects to beat adjusted earnings expectations for the full year. Shares in the company climbed 7.2% to 425.00 pence on Thursday morning in London, giving Playtech a market capitalisation of £1.33 billion. However, its shares are down 33% over the last 12 months. The Douglas, Isle of Man-based gambling software operator reported a swing to a pretax loss of €58.8 million for the six months that ended June 30, from profit of €21.5 million a year earlier. Driving the weaker earnings was a mix of lower revenue and higher costs. Playtech’s top line contracted 9.9% to €387.0 million from €429.7 million, while administrative expenses before depreciation and amortisation more than doubled to €118.0 million from €55.3 million. Playtech also reported a €31.2 million loss in unrealised fair value changes of derivative financial assets, swinging from a €51.3 million gain. Earnings before interest, tax, depreciation and amortisation were down 87% at €12.9 million from €99.3 million. Looking to the full-year, Playtech reported a ‘solid start’ to second half trading, noting plans to increase investment growth in the US and Brazil in the second half of the year. Despite headwinds in Brazil and Colombia, Playtech said it is on track to beat full-year adjusted Ebitda expectations. ‘These results show the strong start Playtech is making in its transition back to its roots as a predominantly pure-play B2B business. I’m very pleased that we have reported earnings ahead of expectations from earlier in the year, reflecting the strong performance across our key markets,’ said Chief Executive Mor Weizer. ‘The second half of the year has started well, and we are on track to be ahead of expectations for the year and well placed to achieve the ambitious medium-term growth targets we set out at the FY 2024 results. The strength of our balance sheet will allow us to increase investment in the US and Brazil in H2 to drive continued growth,’ continued Weizer. Copyright 2025 Alliance News Ltd. All Rights Reserved.
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