Elys says strengthening US dollar responsible for 1 4m Q2 revenue drop

Elys Game Technology has reported a 12% revenue drop for Q2, which the company predominantly attributed to currency fluctuations

Elys Game Technology has reported a 12% revenue knock off for Q2, which the company predominantly attributed to currency fluctuations.

In total, Elys generated $10.3m inwards endorsement billet revenue, a $1.4m pin year-on-year from $11.7m. This was due, the society said, to the “strengthening of the US dollar bill against the euro.”

Since Elys’ revenue is in the first place denominated inwards euros, this adversely affected the company’s top-line execution on a year-over-year basis.

Elys’ revenue was also wedged past the closure of its CTD locations inward Italia during the prior-year period, though this was partially offset printing by online growth.

Expenses also drop year-on-year, falling from $14.4m to $12.6m. Elys undertook an “expense redutction plan” at the incorporated raze as piece of the company’s “pathway-to-profitability” mandate.

Ultimately, this led to a one-time severing be of $1.2m, bringing the company’s tote up expenses to $13.8m for Q2. However, this is expected to payoff longer-term savings.

Overall, Elys’ cost-saving efforts were not enough to mitigate a broadening meshwork loss, which amounted to $3.8m for Q2, an increase of or so $1m from the prior-year period.

On a half-year basis, Elys recorded a similar trend. Revenue drop from $25.9m to $22.6m, while its net red ink grew from $3.4m to $6.4m.

Michele Ciavarella, Elys Game Technology’s Executive Chairman, commented: “The first half of 2022 finished warm considering the absence of land-based B2C operations inward Italy as well as our continuing technology investments for US-facing deployments inward DC, as easily as the Ocean Casino Resort in New Jersey.”

Looking ahead, Ciavarella added: “Our outlook for the residuum of 2022 and through 2023 is to focalize on reopening land-based locations inwards Italia as comfortably as unexampled US locations that we await to launch in multiple states over the next 12 to 18 months.”