Gaming Realms Share Discussion Threads

[ronwilkes123] 19/8/2020 10:57

But you said you dumped them all about two weeks ago

[john09] 19/8/2020 08:41

You should have ditched them. I got 95,000 away at 22.8p just now in chunks

Stocks are for buying and selling Mylands

[mylands] 19/8/2020 08:38

Slightly disappointed by the market reaction to what was a very bullish ' out of the blue' trading update issued three weeks before the interims on September 8th.

Still, I mustn't be too downhearted, the market often doesn't react as you expect. Some good press comment over the next few weeks should help this to rise from here to my short term target of the high twenties, a doubling of my average purchase price.

[bigbigdave] 19/8/2020 06:33

Strong H1 sets Gaming Realms on track for full-year growth
18 August 2020
Online casino content supplier Gaming Realms says a strong first half performance leaves the business well-placed to beat market expectations for revenue and earnings in 2020.

Ahead of Gaming Realms’ full results release for the six months to 30 June on 8 September, it revealed that revenue for the period grew 61.3% to £5.0m (€5.5m/$6.6m), aided by the expansion of its client base and the roll-out of new Slingo-branded games.

The first half saw the supplier sign up the likes of DraftKings, Sky Betting & Gaming and 888 as clients, as well as integrating with content aggregation platform providers such as SkillOnNet, Bragg Gaming’s Oryx, Jumpman Gaming and SoftGamings.

A range of Slingo titles, including Slingo Centurion in partnership with Inspired Entertainment, were also rolled out during the period.

Gaming Realms noted that revenue growth was aided by countries going into lockdown as a result of the novel coronavirus (Covid-19) pandemic, prompting players to look online for entertainment. However, it noted that trading during the seven weeks following the end of H1 - after lockdown restrictions were eased - was yet to see much drop-off in activity.

This helped the company generate adjusted earnings before interest, tax, depreciation and amortisation of around £1.2m, compared to a loss of £0.1m for the first half of 2019.

The supplier therefore expects revenue and EBITDA for the 12 months to 31 December to come in “materially ahead of current market expectations”. In 2019, Gaming Realms generated revenue of £6.9m, up 11.3%, though it posted a £781,745 loss before interest, tax, deprecation and amortisation, though rising costs led to the business posting a loss of £5.7m for the year.

The company is also on the hunt for a new chief executive, after Patrick Southon stood down from the role in February this year. Michael Buckley has taken on the role of executive chairman until a replacement is found.

[john09] 18/8/2020 19:58

You’re only issue here is Mylands is an investor and he’s a plank

[nashwan123] 18/8/2020 19:56

Brokers Peel Hunt have raised there price target to mine at 30p today!

[hotdog23] 18/8/2020 12:45

If you are trading this stock short term, ignore this post.For the rest of you, it is worth thinking about the longer term story. The Exec Chairman holds a big stake (c10%) and he and the board have a history of generating decent returns in the gaming industry. They aren't in it for 50% from here - they are in for multiples.This is early days for the stock, plenty of room to grow.

[nashwan123] 18/8/2020 12:04

homebrew
thanks for link above. I think GMR now has traction for ongoing profits. In a competitive market they must be susceptible more than most to takeover prospects.
I still maintain 30p target!

[john09] 18/8/2020 10:34

Pretty easy to buy at 22p 22.2p etc . Sorry if i am weighing the price down

WMH up more than this today on no news

[homebrewruss] 18/8/2020 09:46

ALign research update:

[john09] 18/8/2020 09:44

Good . Should add to the coffers

[john09] 18/8/2020 09:44

Good . Should add to the coffers

[mylands] 18/8/2020 09:43

Peel Hunt have just come out with a raised target price from 16p(?) to 30p.

[mylands] 18/8/2020 09:15

It's always the same when a stock jumps, it draws out a few buyers but then the sellers get the upper hand seeing the opportunity to take a profit, which in these dire times is fully understandable.

The important thing for me is not to be tempted to buy more until the sellers have gone away, not always an easy thing to time, but with the latest statement coming out ahead of the interim numbers on September 8th, I most certainly will be adding.

[rimau1] 18/8/2020 08:55

John09 is back after selling up in July!

[john09] 18/8/2020 08:24

It’s nice to trade this in 100 or 150k chunks using DMA

[lyndon b] 18/8/2020 08:17

Brownie, fair enough, let's see. I did like the comment:

"trading during the 7 weeks following the Period end, which were post lockdown, have maintained similar levels seen during the Period".

£10m/yr revenue should be their target which might well flush through to being their first ever EBIT profit....they are doing some amount of deals out in the marketplace, so I am hopeful.

[brownie69] 18/8/2020 08:11

LYndon.

I was thinking full year. The thinking behind not doubling H1 is that H1 has seen the Lockdown effect which has benefited the sector so much. Maybe I'm being cautious, I usually am, but I think the lockdown effect has largely worn off now and thus I used 0.6m EBITDA for H2. still ahead of the run rate that would have applied to the EBITDA forecast £1m for FY pre lockdown.
Hopefully of course its £2m + for the full year.

The exciting thing is that they will be more upgrades as more US states regulate and there are several in that process right now.

[longwell] 18/8/2020 08:08

Good timing then, i tucked away some shares same time i invested in Gan.Hoping for same result.Company looks sound with well executed clear direction.Massive potential.

[lyndon b] 18/8/2020 08:06

nice opening

[mylands] 18/8/2020 08:01

longwell

Welcome, I am a newbie here, only making my first investment in GMR in June immediately after their trading update. It's looking good so far!!

[longwell] 18/8/2020 07:59

Mylands, just looked in here as held shares for years but focused on Gan and William Hill.Missed a lot here and now re engaged .Good to see a familiar poster.Prospects look very good here, its moved on well.going to read last few weeks posts for insight.

[lyndon b] 18/8/2020 07:57

Brownie...£1.8m for the year (I assume you were meaning full year?) might be a bit pessimistic if they are £1.2m after 6 months?

[lyndon b] 18/8/2020 07:53

Their selling expenses are normally around £7m/yr (I am hoping they have not increased?)and depreciation/amortisation were £3m last year. So they need just over £10m revenue for the full year to make an operating profit, something they have never done before. That indeed would be a great result.