NYX Gaming Group’s growth in its revenue earning in 2016 is a monumental success. The 213-percent jump from the total revenue in 2015 gives justice to the year 2016 as the company’s transformational period.
The company acquired last year three technologies, one of which is the sports betting unit, OpenBet. These acquisitions result in a major upgrade to the company’s operations, further pushing NYX Gaming to achieve high revenues.
Revenue report details NYX Gaming growth
In the NYX Gaming revenue report for December 31 last year and the last three months before the date, it became clear that the group ‘s total revenue amounted to $163.7 million, which is 213-percent higher than that of the previous year. The report also showed $54.5 million earnings that grew by 196.6 percent from 2015.
Much of the revenue came from the contribution of the OpenBet earnings, which totaled to about $30.4 million. This is more than twice the amount that the company earned in 2015. Even without the contribution from the sports bet tech, NYX Gaming’s revenue set at 31.2 percent year-over-year.
In the last quarter of 2016, NYX Gaming’s gross profit was $48.1 million, which is about 88.3 percent of its revenue. The numbers are much higher than its gross profit of only 86.2 percent in 2015.
Moreover, the company’s revenue from its royalty and license earning is at $26 million or a 64.3 percent year-over-year. This is thanks to the company’s acquisition of the UK-based Betdigital and the Chartwell Technology and Cryptologic from the Amaya Gaming company.
The Adjusted EBITDA for the last quarter of 2016 also saw a 185.1-percent increase, reaching $12.9 million.
On the other side of the spectrum, the company listed a net loss of $57.9 million in its report for 2016. This loss came from the costs of the acquisition and the company restructuring expenses. There were also impairments of around $94 million in this year, which could be due to the acquisition
NYX ‘transformational’ year
Despite the cost of the latest acquisitions, NYX Gaming has set itself as one of the leading brands that deliver more multiple channels. This includes sportsbook and other iGaming-related technology.
NYX’s Open Gaming System (OGS) runs on 14 of its client’s sites. The company also closed 16 new partnership deals with its OGS platform.
Matt Davey, CEO of NYX Gaming Group, said:
“This was a transformational year for NYX. With the integration of OpenBet now substantially complete, we are ideally positioned as a leading provider of sportsbook, gaming technology, and NextGen content to the regulated gaming market. Since the beginning of 2017, our new operating model has been delivering an improved cost structure that, combined with our growth strategy, will result in increased operating leverage.”