Gaming Realms (GMR ) has hailed “excellent progress” in FY20, in which it delivered profitable growth, with the release of its results for the year ended 31 December 2020.  

The Group, which develops and licenses mobile focused gaming content, told investors that its licensing strategy has enabled it to deliver profitable growth during FY20, as it distributed its extensive games portfolio to an increasing number of operators in key global markets. 

Gaming Realms highlighted that it made “excellent progress” during the year, increasing revenues by 66% to £11.4m (FY19: £6.9m) and producing a maiden adjusted EBITDA profit before share option and related charges of £3.3m compared to a loss of £0.2m in FY19.  

Michael Buckley, Executive Chairman said this underscores the success of the Group’s strategy to focus on its core licensing business segment, and its social publishing division. 

"By securing 26 new licensing and distribution partners throughout the year, of which many were Tier 1 operators, and adding 10 new games to our hugely popular Slingo portfolio, we successfully increased the number of unique players playing our games by 140% and saw increased international demand for our content,” Buckley highlighted to investors.  

The Group said its focus on content licensing resulted in 81% revenue growth in its licensing business to £7.5m (2019: £4.1m). In particular, it said it is seeing strong momentum within this business, with increased international demand for its Slingo Originals portfolio. 

With growing distribution via its proprietary Remote Game Server ("RGS"), the Company said it has been able to increase its EBITDA margin within the licensing segment to 50% compared to 34% in FY19, resulting in EBITDA of £3.7m compared to £1.4m in FY19.  

Shares in Gaming Realms have nearly doubled in value since the beginning of 2021. The stock was trading 9.57% lower this morning at 40.3p following the announcement. 

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Amongst its licensing business highlights, the group ramped up its library of proprietary games by 10 to 44 games at year-end, went live with 26 new partners, and signed deals with NetEnt, King Show Games and Inspired Entertainment for new branded Slingo games. 

GMR said the strong momentum seen in FY20 has continued into 2021 and that it remains focused on international expansion, additional partnerships and creating new games. The Group told investors that it is currently trading marginally ahead of Board expectations. 

Gaming Realms successfully launched its Slingo content in the Italian regulated market, and will launch in Michigan, its second U.S. State in May. Meanwhile, the Company also expects to be granted a supplier licence in Pennsylvania and launch in the first half of the year. 

With 9 new partners secured to date in 2021, together with the recent launch of Slingo Starburst in collaboration with NetEnt, the Board highlighted that it has “every confidence in the strategy being pursued and in the Group's prospects for the year ahead.” 

Buckley added, “With further planned launches in the USA, Denmark, Spain, Canada and Portugal, and a strong pipeline of new and exciting branded Slingo games, the Board is confident in the future prospects of the business and looks forward to keeping its shareholders updated on progress." 

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