Losses narrow to £2.3m at Smurfit family backed GAN

Pre-tax losses narrowed slightly to £2.3 million (€2.7m) at the Smurfit family-backed gaming company GAN in the first six months of the year, as the company eyes up further growth in its sustainable real money gaming markets in New Jersey in the US and Italy.

Losses fell back from £2.6 million to £2.3 million as revenues rose by 21 per cent to £15.9 million in the six months to June 30th 2016. Net revenue rose by 35 per cent to £3.9 million, at the developer and supplier of enterprise-level B2B gaming software and online gaming content, of which 64 per cent originated from the US. Simulated Gaming accounted for £1.4 million of net revenue, up by 75 per cent on the same period in 2015, with Regulated Gaming accounting for £2.5 million, up by 21 per cent.

Dermot Smurfit, chief executive, said the performance is "in line with management expectations".

“As the numbers illustrate our investment in the business continues. Our financial results continue to be impacted by factors outside of our control including delays in further intra-State regulation of real money internet gaming together with continued delays in securing additional system sales on commercially attractive terms. Growth prospects for Simulated Gaming and real money Regulated Gaming in New Jersey continue to offer the company a viable path to sustained profitability and significant incremental shareholder value,” he said.

GAN had cash of £4 million as of June 30th and net assets of £10.5 million.