Gan Share Discussion Threads

[john09] 23/3/2022 12:18

EBIDTA positive doesn’t mean a profit of course

[garmin1] 23/3/2022 11:35

Molatov, i agree with that not losing money would be significant progress. Given that they burnt through over 20% of their cash in Q4, they need to start turning positive cash flow, otherwise they’ll need to seek funding.

My main issue is I see no path to the revenue targets stated. The last three Q’s B2B has seen no growth and there is only the one tribal casino operator being added in H1 2022. The length of time it takes to get a GAN sports client up and running is a major concern for me. They announced the Red Rock deal in Oct 21, yesterday Dermot stated testing would be carried out near the end of 2022. I got the impression the revenue won’t start flowing until 2023. This implies that even if new clients are won now, they won’t be running until the middle of 2023 at the earliest.

I just don’t see how Dermot can state the 2023 target of $225m revenue is achievable.

When I invested in this company it was a B2B provider of tech to US online gaming participants. It’s now an B2C South American and European sports betting company.

[mylands] 23/3/2022 11:32

Sad to say too much 'jam tomorrow' for me.

A real shame to see what has happened with this company after so much promise. In just short of two years on NASDAQ, the share price has fallen from a launch of $13 to $4.50 in today's pre-market. Don't let's even think of the fall from the high it reached in Feb last year.

GLA, I think we will all need it.

[molatovkid] 23/3/2022 11:19

Just the fact they ain't losing money would be a good start.

I believe they are aiming for $500m-$600m revenue in 2025-26, so much larger profits then.

Admittedly not one for traders.

[john09] 23/3/2022 10:45

15-20 m EBIDTA doesnt get me excited . What am i missing

[rivaldo] 23/3/2022 10:43

Here's the Q4 conference call from last night. If they can deliver on the numbers suggested then it's easy to see huge potential upside from here.

With a current $232m m/cap, and indicative revenues this year between $155m-$165m and predicted EBITDA of $15m-$20m, it would seem that GAN is - certainly by American standards - extremely undervalued.

But there's plenty of work to do from here to restore the company's fortunes.....

[john09] 23/3/2022 08:13

Imagine trying to win business with the big boys and at the same time suing them. Wont end well. Bitter little company this

[mip55] 23/3/2022 06:53

MGM are the company GAN are suing for patent infringement it appearsDuane Morris filed a patent infringement lawsuit against MGM Resorts Monday in Delaware District Court. The lawsuit was brought on behalf of UK-based gaming software company GAN f/k/a GameAccount Network, which asserts a patent associated with casino gaming management technology. Counsel have not yet appeared for the defendant. The case is 1:22-cv-00361, Gan (UK) Limited v. MGM Resorts International.

[mets333] 23/3/2022 03:47

Not disagreeing with your take but cfo was talking about Parx. There is some distain there and I don't think they even like mentioning them by name.

[garmin1] 22/3/2022 21:35

That earning call didn’t fill me with confidence.

1. Dermot’s view the market will fragment seems wishful, indeed the analyst basically ridiculed him for suggesting it.
2. There is no real additional revenue being added to the accounts until at least the second half of the year. Dermot only stated the Red Rock deal would see ‘testing’; in H2.
3. The CFO let slip that the company had lost a B2B customer in the ‘north east’. She then suggested the company would look to acquire debt to fund the company objectives.
4. Dermot seemed less than convincing when he stated 2023 revenue targets of $225m. I don’t blame him as I’ve no idea how he gets then from $125m in under two years, given the above.

I need to have a think about what to do. I believe the company is undervalued, given recent share price movements but I also don’t see the catalysts to change the current trend. I’m holding but I wouldn’t be buying.

[rimau1] 22/3/2022 21:20

Thats a little embarrassing, yet CFO Karen Flores still appears to have a job. Sadly the results don’t make Gan look investible even at these levels. Better off backing Flutter/Entain IMO.

[john09] 22/3/2022 20:30

“ Operating Expense quarter over quarter comparisons were affected by prior quarter errors relating to capitalized costs that were not capitalizable, that were corrected in the tables below. We are evaluating whether these are material to the prior period filings.”

[mip55] 22/3/2022 20:21

https://www.businesswire.com/news/home/20220322006100/en/GAN-Reports-Preliminary-Fourth-Quarter-and-Full-Year-2021-Financial-Results

[daveme] 17/3/2022 21:20

My thoughts entirely, napoleon. Hopefully my small buy at $5.14 will be rewarded. I never seem to time my buys well and this time was the same since 2/3 days later it was $4.60! However, GAN seems to be on an upward path to the results at least so we'll see.

Up until now GAN's earnings updates tend to be poor, or at least poorly communicated. Hopefully with Ontario coming on stream, with both FanDuel and CoolBet, and GAN sports kiosks nearly here, the disappointment of Churchill Downs withdrawing can be smoothed over.

GLA

[napoleon 14th] 17/3/2022 17:33

Encouraging upward trend since Monday.
I hope that heralds some positive results
& a +ive forward looking statement.
GLA.

[napoleon 14th] 17/3/2022 00:27

mykands - I stand corrected as, unfortunately, you're right!

As for the compny buying its' own shares, it's usually done by those who
have no better ideas about what to do with cash. I hope a much chastened Smurf
realises he has to come up with ventures producing results that will flatter
rather than deflate his ego!

[daveme] 16/3/2022 16:40

Building up to Ontario Sports betting, hopefully on 2 fronts:-

hXXps://www.legalsportsreport.com/66383/fanduel-unibet-ontario-sports-betting-approved/

[mylands] 15/3/2022 17:25

nap14th

Correction:

'GAN has shrunk to a miserable 25% of its ATH'. It's not 25% of the ATH but just 15% of the ATH.

Not confident about 'coming up with the goods a week from now. The market often reflects how a company is doing and, sad to say, in my experience it is not often wrong.

One tiny bit of positive news is that the company does not appear to have used any of the $5 million is set aside to buy in stock that it announced on November 30th when the share price was $11. If it had, we would now be looking at a big loss!

[napoleon 14th] 15/3/2022 09:34

Q4'22 & F/Y 2022 news due on 22nd - a week away...
hxxps://investors.gan.com/websites/gan/English/2110/news-detail.html?airportNewsID=1a3454ec-8aa5-4cae-be69-6ea32938ac79

Clearly no cred for the silver-tongued Smurf in share price performance.
I'm c 40% down overall after being c. 300% up at the Feb 2021 highs.....
To think; these were being touted to get to US$60 at the time!

GAN has made deals but, while the US gaming sector has grown considerably,
& is still growing, the value of GAN has shrunk to a miserable 25% of its' ATH.
ENT is UP 125% on the same timescale FFS!

The Smurf gets a huge FAIL so far. Better come up with the goods a week from now.

[festario] 14/3/2022 17:50

More than 80% down is this, in 12 months.Whilst fortunes have been made by many on the wider market.

[john09] 11/3/2022 18:43

96p in old money . If you’re still holding this from AIM days, why?