| Real
Casinos> 2007
- Real Casinos News Archive>
Tough Times For Vc Gaming
'Official German attitudes towards online
gambling make diversification necessary
Online gambling AIM listed company VC Gaming has released its latest
full year results with pre-tax losses of Euro 28.8 million showing
just how tough the market has become in countries like Germany,
where the firm has been mainly focused. Over the same period last
year a profit of Euro 12.8 million was achieved.
Newly appointed CEO Kenny Alexander, in the hot seat since 1 March
2007, says the company's diversification away from its core German
market will be a key objective in the year ahead after its full-year
results showed the impact of goodwill impairment due to the continued
unclear regulatory situation in Germany.
After the one-off charge, Gaming VC saw pre-tax losses of Euro
28.8 million (GBP 19.5 million) Turnover rose slightly to Euro 40
million while operating profit before exceptional items and share
option charges was also down slightly at Euro 13.5 million from
Euro 13.9 million.
Product diversification is another objective for the year ahead,
and there are plans to acquire an Italian sportsbook license, hopefully
within the next quarter. Other additions to product will include
both bingo and tournament poker. The company said it is working
on a change in marketing channels from mostly direct mail marketing
in Germany to online marketing.
Trading in the first quarter of the new year gave a more positive
picture, with daily revenue up 21 percent on the previous quarter
and 12 percent up on the same period last year at Euro 129 000.
The company's operational units comprise Casino Club.com and Casino
Club Poker.com.
|
