The video game industry is poised to expand even further after a record-breaking first half of the year, according to Gaming Realms. The company stated that it will enter more markets and release new content this year, which will contribute to further expansion. This follows a record £11.5 million (€13.4 million/$14.4 million) income in the initial quarter.
Gaming Realms has made notable progress in the six months ending June 30, collaborating with 25 new partners worldwide. Notably, it secured agreements with Bet365 in the UK and PokerStars in New Jersey.
The developer is also aiming to enter more markets, having submitted permit applications in British Columbia and South Africa. Combined with its first-half approval in Sweden and an expanded collaboration with Bet365, Gaming Realms’ ambitious expansion plans are evident.
Consequently, Gaming Realms anticipates the strong momentum from the first half to continue into the second half of the year. The developer stated that this will be fueled by new market launches, including its recent launch in Portugal and expected approvals in other regions.
“We have achieved a solid half-year performance as we have expanded our global licensing business by bringing innovative Slingo content to a growing number of partners and players,” said Mark Segal, CEO of Gaming Realms.
Licensing expansion has driven Gaming Realms’ revenue growth, which was up 35% year-over-year.
The core content licensing business of ‘Gaming Realms’ contributed a small percentage of total income.
Licensing income saw a considerable rise, reaching almost ten million pounds, with a significant portion coming from licensing and a smaller amount from brand licensing.
Gaming Realms emphasized the addition of numerous partners in their established markets across Europe and North America. The company also mentioned obtaining a new Swedish license and anticipating approval in British Columbia and South Africa.
The remaining portion of revenue originated from their social business, which experienced a slight decrease compared to the previous year. Gaming Realms indicated that their social segment presents opportunities for further monetization of their Slingo game collection.
Net profit experienced a substantial increase, reaching over two and a half million pounds.
In terms of expenses, spending increased across all areas in the first half of the year. Administrative expenses were the largest expenditure, while marketing and operational costs also rose compared to the previous year.
Gaming Realms also observed higher share option and related expenses, amortization of intangible assets, and depreciation costs. However, finance costs were lower, while financial income saw a slight increase.
As a result, profit before tax reached over two and a half million pounds, representing a significant increase compared to the previous year. Gaming Realms also noted a tax credit. This resulted in a net profit of over two and a half million pounds, a substantial increase compared to the previous year.
Moreover, the company stated that EBITDA increased significantly, reaching a new record for the group.
Siegel expressed confidence in the group’s strong new business pipeline and positive outlook.
Our current collaborations are expanding, and we’re also introducing fresh operators, offerings, and territories. This fuels our positive outlook on the company’s future.”
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