Gaming Realms (GMR)

 

Gaming Realms confident as H1 losses narrow

Gaming Realms expects adjusted losses for the six months to the end of June of £0.9m - down from £3.6m last time.

Revenues - including disposals - are expected to be £15.7m - up from £14.9m a year ago.

The company said it was on track to deliver a result in line with the board's expectations for the year as a whole.

An update said: "With the H1 2017 adjusted EBITDA loss significantly reduced to £0.9m, the board remains confident in its strategy and is on track to achieve the board's expectations for the year as a whole.

"The board anticipates the company will achieve significant positive EBITDA in the second half of the financial year with increased revenues, seasonal marketing costs reduced, and a full period of benefits from the integration of the social business.

"To support this growth, the company anticipates raising approximately £1m from investors in the relatively short term."

Gaming Realms entered into an asset purchase agreement with RealNetworks Inc. dated 10th August 2015, which provided for a final payment to RealNetworks of $4m by 10 August 2017.

The company said this had now been amended to provide for a final payment of $4.5m to be made to RealNetworks by 15 December 2017, and Gaming Realms would be negotiating suitable longer term debt financing to settle this sum in advance of this date.