Bwin.party digital entertainment plc had an up-and-down second quarter reporting a solid performance in sports betting that helped offset a softer performance in poker and casino while bingo remained flat for the company.
“Trading in the second quarter was mixed with revenue a little softer than expected but Clean EBITDA margins were slightly better than expected,” said Norbert Teufelberger, CEO of bwin.party in a press release.
The company is planning additional cost savings in 2014 of 10 million euros on top of 20 million euros in cuts already made. Bwin.party also expects to continue making cuts in 2015, the release said.
Increases for sports betting can be traced to the FIFA World Cup, but online declines came for a number of reasons. .
“As expected, the start-up losses in New Jersey, ISP blocking in Greece and the absence of domain sales in the first half have impacted both the revenue and Clean EBITDA [earnings before interest, taxes, depreciation, and amortization] performance versus the prior year,” Teufelberger said. “However, we are taking steps to improve operating performance, simplify decision-making, reduce complexity and costs and, as a result, remain confident about the full year outlook.”
