Jackpotjoy plc (JPJ)

Business description

Jackpotjoy plc (JPJ) (formerly The Intertain Group) is a leading online gaming operator mainly focused on bingo-led gaming targeted towards female audiences. About 77% of revenues are generated in regulated markets. It moved its listing from the TSX (IT:TSX) to the LSE in January 2017.

Stock data

Market cap.£617.6m
Last close834.00p
High / Low (52 weeks)859.0p / 534.0p
Stock market listingLN
Forecast net debt (£m)299.2
Forecast gearing ratio (%)132
TeamConsumer
SectorTravel & Leisure

Price performance

%1m3m12m
Actual2.412.7N/A
Relative *3.712.0N/A

* % Relative to local index

Other companies in sector Show

Company news

Strong brand portfolio sees Jackpotjoy Plc confident of hitting full 2017 ...

Tue, 14 Nov 2017 11:24:15 GMT

Jackpotjoy PLC Announces Board and Management Changes

Mon, 16 Oct 2017 06:00:00 GMT

Jackpotjoy plc and Intertain announce completion of London listing and plan of ...

Wed, 25 Jan 2017 08:21:32 GMT

Intertain and Jackpotjoy plc announce expected completion date for London ...

Fri, 13 Jan 2017 15:56:15 GMT

Andrew McIver – Jackpotjoy Plc – Good to be Home…

Mon, 04 Sep 2017 09:22:30 GMT

Y/E Dec Revenue (£m) EBITDA (£m) PBT (£m) EPS (p) P/E (x) P/CF (x)
2015A 194.6 70.4 46.1 73.0 11.4 21.9
2016A 269.0 102.2 65.6 88.4 9.4 7.2
2017E 298.2 107.4 65.2 86.4 9.7 6.0
2018E 326.0 113.8 83.9 108.3 7.7 5.7

Last updated on 14/11/2017

Investment summary

Jackpotjoy plc (JPJ) is the clear leader in the c £800m UK bingo-led market, with exceptionally high EBITDA margins and strong cash flow. The group’s balance sheet is simplifying following a major earnout payment and we expect it to reach 2.0x net debt/EBITDA in 2019. With four sets of strong quarterly figures under its belt, JPJ’s shares have risen 42% since the January listing in London. Nonetheless, at 7.9x P/E, 8.2x EV/EBITDA and 11.7% free cash flow yield for 2018e, the stock still trades at a significant discount to peers and we believe the re-rating will continue as value steadily transfers from debt to equity.

Last updated on 14/11/2017

Industry outlook

JPJ operates in growing markets with positive structural drivers. H2 Gambling Capital 2017 estimates that the worldwide gaming market will grow 7% CAGR until 2021. The extension of the UK 15% gaming tax from net to gross revenues is expected to be enforced retrospectively from 1 August 2017. M&A is a feature of the sector, driven by economies of scale and tax/compliance costs in regulating markets.

Last updated on 02/11/2017

Key management

Neil Goulden, Chairman
Andrew McIver, CEO
Keith Laslop, CFO

Company address

35 Great St Helen’s Street
London
EC3A 6AP
United Kingdom
+44 (0) 207 160 5000
View website