Business Review
Gross income for the year ended 31 December 2009 increased by 23% to
137.3 million (2008: 111.5 million), out of which 22.5 million is related
to Playtechs income from associate.
Total revenues for the year were up 3% to 114.8 million (2008: 111.5
million). Casino revenues decreased by 3% to 76.8 million (2008: 79.4
million) and Poker revenues increased by 12% to 33.8 million (2008:
30.1 million).
Total revenues excluding revenues from WHO for the year were up
8.4% to 103.5 million (2008: 95.5 million excluding revenue from
former customer). On the same basis Casino revenues were up 3.2%
to 68.3 million (2008: 66.2 million) and Poker revenues up by 14.9%
to 31.7 million (2008: 27.6 million).
Net profit for the year increased by 71% to 69.5 million (2008: 40.7
million). Earnings per share (EPS) for the year were 29 cents based
on the weighted average number of shares (2008: 17.9 cents).
The fully-diluted EPS for the year were 28 cents (2008: 17.3 cents).
The net profit figures for the years ended 31 December 2009 and
2008 were achieved after charging professional costs on post-year-end
acquisition and after charging various non-cash charges relating to
the investments in WHO, Tribeca, CY Foundation Group Limited and
AsianLogic Limited, and the employee stock option plan.
As is widely accepted practice, greater focus is placed on the
performance excluding the majority of non-cash charges, and
accordingly we set out below the key line items on an adjusted
basis together with their reconciliation to the audited accounts.
Adjusted net profit and adjusted earnings per share
Management believes that adjusted net profit better presents the
underlying performance of the Group and sets out below the basis
on which these are calculated and reconciled to the Groups accounts.
Adjusted net profit for the year totalled 89.6 million (2008: 78.6
million), an increase of 14%. Adjusted net profit margin (as a percentage
of revenues) for the year was 78% (2008: 70%). The adjusted EPS for the
year, based on the weighted average number of shares, is 37.4 cents
(2008: 34.5 cents).
Playtech continues to be a highly cash-generative business, and the dividend received from WHO has further increased the cash flow of the Company.
Moshe (Shuki) Barak
Chief Financial Officer