Playtech Q1 2023 Trading Report: Ahead of EBITDA Targets Following an Impressive Start to 2023

On course for a strong year? Playtech Q1 2023 trading report puts UK London Stock Exchange-listed iGaming company ahead of target for 2023! (Image from Tumisu at pixabay.com)

Playtech PLC, one of the iGaming industry’s largest companies, has recently released a trading update for Q1 2023. Making for good reading for the firm, the report covers the period between the 1st of January and the 30th of April in 2023.

It reveals that Playtech has enjoyed an impressive first quarter leaving the company confident it will surpass its initial adjusted EBITDA forecasts for 2023.

The trading statement reveals that Playtech has made significant early strides towards its strategic objectives for the year across each of its B2B (business-to-business) and B2C (business-to-consumer) divisions. Much of this first quarter’s success was driven by the strong growth and performances of its Caliente and Snaitech businesses.

Caliente Rocking it in North American iGaming Markets

Caliente has been a pivotal cog in the machinery for Playtech’s B2B gambling sector. Playtech has been targeting an increased presence in Latin America and is well ahead of schedule thanks to its flagship brand in the region. Caliente has quickly forced its way into a position as one of Mexico’s market leaders.

On top of this, Playtech has continued to make big strides in the United States. We reported in late March that Playtech acquired a minority equity ownership stake in Hard Rock Digital. While this set tongues wagging as to the chances of this being a strategic move that would provide HRD with an easier path to setting up shop in Ontario – the $85 million deal has already started paying off for Playtech.

Other areas within the UK London Stock Exchange-listed game developer and suppliers’ B2B division also performed strongly. This includes Playtech’s live casino vertical, which has experienced solid growth so far in 2023. The company’s SaaS business has also experienced similar momentum in Q1 of 2023.

Playtech’s B2C Gambling Division Also Experience Strong Growth

Anything B2B can do, so can B2C, or so it seems. The business-to-consumer division can thank Snaitech for much of this early promise. Aided by the return of football following the completion of the World Cup, Snaitech has been the driving force for growth in the division thanks to a strong performance both in retail and in the online space.

Through Snaitech, Playtech acquired HAPPYBET in Q2 2022 and this business is quickly reaping the benefits of such a massive player in the iGaming industry. In Q1 2023, Snaitech reported a reduced EBITDA loss compared to the same period the year before.

One in and One Out at Board Level

The Playtech trading report also revealed some upcoming changes at the board level. Ruby Yam will take her place on the board on June 1. She will sit as an Independent non-Executive Director. As for the outgoing, John Krumins has made the decision to step down from his position on the Playtech board. He will remain in his role until Playtech publishes its interim results in September.

Playtech Expects Early Momentum to Continue Throughout 2023

Following such a positive start to the year, the vibe around Playtech is a good one. The company believes and expects it is now on course to exceed initial adjusted EBITDA estimates for 2023. Mor Weizer, the group’s CEO, shares that positivity after expressing his delight at the performance so far. He lays much of this early promise at the feet of Snaitech and, to a lesser extent, Caliente.