StockMarketWire.com - After-tax losses at GAN - a leading B2B supplier of Internet gaming enterprise software-as-a-service solutions to the US land-based casino industry - fell to £3.8m in the year to the end of December from £5.0m in 2015.

Net revenue rose to £7.8m - an increase of 30% on 2015 - and the group posted a clean EBITDA loss of £0.9m (2015: £3.0m) a reduction of 70% on 2015.

Loss before tax fell to £5.2m (2015: £5.6m).

Chief executive Dermot Smurfit said: "2016 has continued the period of investment for GAN, and, performance to date in 2017 is in line with our expectations.

"GAN has continued to position its business to capture growth in emerging online gaming markets in the US. 2016 saw significant progress with Simulated Gaming, together with a number of significant commercial and strategic developments.

"Real-money Internet gaming in New Jersey and the pace of regulation in the US market has remained slower than expected although growth in New Jersey out-performed our full year expectations with gross gaming revenues up 32% year on year to $197m.

"We are confident in the long-term prospects for real-money gaming. For 2017 we believe that the opportunity for GAN with Simulated Gaming will more than adequately compensate for the delays in regulating real-money Internet gaming in the US which also positions GAN to serve existing clients of Simulated Gaming with real money Regulated Gaming in the event their casino properties' host State does regulate.

"The State of Pennsylvania appears to be in the process of regulating Internet gaming with a number of legislative bills actively considered in 2016 of which derivative bills have been the subjects of legislative action in 2017 with the latest bill regulating real money Internet gaming being approved by the Pennsylvanian Senate just last week.

"GAN has been selected as the exclusive platform for both Simulated Gaming and regulated real-money Internet gaming by Parx Casino, the leading casino operator in Pennsylvania, and is positioned for substantial growth in regulated real-money gaming should suitable legislation be enacted in 2017. GAN also announced that it had appointed Liberum as the company's joint corporate broker, with immediate effect.

It said this appointment would provide the company with another voice within the UK capital markets and investment community.



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