New York-listed gaming supplier Inspired Entertainment has warned that last week's decision by the UK government to cut the maximum stake on fixed odds betting terminals (FOBTs) is likely to impact its annualized earnings by up to £8m.

As a result of the regulatory changes proposed by the UK's Department of Digital, Culture, Media and Sport, Inspired has reviewed the possible impact on its business, with a significant portion of its server based gaming (SBG) revenue derived from revenue-sharing arrangements with UK customers who operate FOBTs (or B2 gaming machines).

“The department’s announcement does not clarify when a reduction in the maximum FOBTs betting limit will actually be imposed, but we believe it will likely be at some point in 2019,” said Inspired executive chairman Lorne Weil in a call with investors this week.

Premium subscribers continue here to the full article.

Related