International gaming technology platform and service provider Nektan released its trading update for the final six months of 2019 which reveals extensive B2B growth and a continuous review of its CEO position.
This continues from last year’s selection of Gary Shaw as interim as the company concentrated on international expansion to aim for stability.
Nektan’s B2B growth saw the company produce sales in H1 FY20 of £787,000, marking a rise of 153.1 percent over H1 FY19.
Shaw remarked: “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.”
In addition, Q2 FY20 saw an intense period of operation with a large number of sites either entering beta or going live, resulting in revenue growth of 102.7 percent over November 2019 in December 2019.
In addition, the brand has now become active in multiple markets in Europe, Africa and Asia, with Latin America set to launch in Q3 2020. The board also announced that in January 2020 it released a further 6 sites which were in beta in December 2019.
The group is now live across Europe, Africa and Asia in multiple markets, with Latin America to open in Q3 2020. In January 2020, Nektan opened another 6 sites in beta in December 2019, with a further pipeline of 21 confirmed and expected to be launched in the months to come.
The group’s restructuring in the second half of last year subsequently rendered the group unable to publish its full-year results which resulted in the suspension of trading in its shares. Nektan has seen the listing of its shares restored on AIM after the full-year results were published.
Total revenue for the year ended June 30, 2018 came in at £ 22.6 million (2018: £ 19.8 million), with profits lengthened from £ 1.3 million to £ 2 million and loss before tax deepening to £6.4 million (2018: £5 m).