Playtech is planning € 40m of buyouts and guides to increase revenues 2019

Playtech 's cash game software provider Thursday announced a 40 – million share buyback program and a profit in line with targets after a year in which it published two profit warnings.

Total revenues for the year ended 31 December increased by 54% over the previous year to 1.24 billion euros, although reported net profits decreased by 50% from 248 million EUR 124 million, due to acquisition and interest costs. Profit before tax also decreased by 31% to 183 million euros.

In 2019, Playtech said it expects that current profit before interest, taxes, depreciation and amortization will be around 390 to 415 million euros, compared to 343 million euros in 2018. The figure for Exercise ended in December is located in the middle of the year. € 320m – € 360m of room for maneuver, Playtech announced its warning on profits in July.

The company FTSE 250 had difficulties last year following the crackdown in Malaysia, one of its main Asian markets, and increased competition in China, another market called "gray". To compensate for this, Playtech is increasingly focused on regulated markets: during the year, it stated that it increased the share of its revenues from these regions by 54% in 2017 to 80%.

In August, Playtech finalized the acquisition of Snaitech, a gaming company in Italy, which they hoped would offset the shortfall in Asia. Snaitech's adjusted earnings increased 14% during the year, driven by 27% growth in online revenue.

However, in January, the gaming software company had warned that tax law changes in Italy would reduce earnings from 20 million euros to 25 million euros in 2019.

Alan Jackson, president of Playtech, said: "In the face of changing market dynamics, Playtech has made significant strategic and operational progress in 2018, offering a significantly improved financial profile.

"I am pleased to announce our new policy of gradual return to shareholders. The strength of the balance sheet and the cash flow allow the Board to exercise confidence in the future growth of the company, "he added.

Shares rose 3% at the start of trading in London.