Post-effective amendment to a registration statement that is not immediately effective upon filing

Segmental Reporting

v3.21.1
Segmental Reporting
 3 Months Ended
Mar. 31, 2021
Segment Reporting [Abstract]  
Segmental Reporting

20. Segmental Reporting

 

The Company has two reportable operating segments. These segments are:

 

  (i) Betting establishments

The operating of web based as well as land based leisure betting establishments situated throughout Italy; and

 

  (ii) Betting platform software and services

Provider of certified betting Platform software services to leisure betting establishments in Italy and 11 other countries.

 

The operating assets and liabilities of the reportable segments are as follows:

 

    March 31, 2021
    Betting establishments   Betting platform software and services   All other   Total
                 
Purchase of non-current assets   $ 2,081     $ 44,157     $ 34,166     $ 80,404  
Assets                                
Current assets     12,300,829       822,379       10,479,298       23,602,506  
Non-current assets     7,081,460       6,169,034       1,658,077       14,908,571  
Liabilities                                
Current liabilities     (8,675,683 )     (698,241 )     (661,593 )     (10,035,517 )
Non-current liabilities     (1,055,027 )     (1,201,997 )     —         (2,257,024 )
Intercompany balances     4,273,141       (318,375 )     (3,954,766 )     —    
Net asset position   $ 13,924,720     $ 4,772,800     $ 7,521,016     $ 26,218,536  

 

The segment operating results of the reportable segments are disclosed as follows:

 

    March 31, 2021
    Betting establishments   Betting platform software and services   All other   Adjustments   Total
Net Gaming Revenue   $ 14,065,599     $ 91,729     $ —       $ —       $ 14,157,328  
Intercompany Service revenue     97,624       802,112       —         (899,736 )     —    
      14,163,223       893,841       —         (899,736 )     14,157,328  
                                         
Operating expenses                                        
Intercompany service expense     802,112       97,624       —         (899,736 )     —    
Selling expenses     10,657,764       4,051       —         —         10,661,815  
General and administrative expenses     1,687,969       1,264,188       1,193,053       —         4,145,210  
      13,147,845       1,365,863       1,193,053       (899,736 )     14,807,025  
                                         
Income (Loss) from operations     1,015,378       (472,022 )     (1,193,053 )     —         (649,697 )
                                         
Other (expense) income                                        
Interest expense, net     (2,692 )     (3 )     (5,154 )     —         (7,849 )
Amortization of debt discount     —         —         (12,833 )     —         (12,833 )
Other income     280,882       462       —         —         281,344  
Other expense     (24,118 )     (2.812 )     —         —         (26,930 )
Gain on marketable securities     —         —         195,000       —         195,000  
Total other (expenses) income     254,072       (2,353 )     177,013       —         428,732  
                                         
(Loss) Income before Income Taxes     1,269,450       (474,375 )     (1,016,040 )     —         (220,965 )
Income tax provision     (393,410 )     4,796       —         —         (388,614 )
Net (Loss) Income   $ 876,040     $ (469,579 )   $ (1,016,040 )   $ —       $ (609,579 )

 

The operating assets and liabilities of the reportable segments are as follows:

 

    March 31, 2020
    Betting establishments   Betting platform software and services   All other   Total
                 
Purchase of non-current assets   $ 28,758     $ 22,534     $ —       $ 51,293  
Assets                                
Current assets     7,928,294       365,476       359,852       8,653,622  
Non-current assets     12,633,088       6,514,244       1,279,174       20,426,506  
Liabilities                                
Current liabilities     (5,911,483 )     (503,558 )     (9,918,078 )     (16,333,119 )
Non-current liabilities     (1,227,525 )     (1,316,117 )     —         (2,543,642 )
Intercompany balances     6,130,287       227,718       (6,358,005 )     —    
Net asset position   $ 19,552,661     $ 5,287,763     $ (14,637,057 )   $ 10,203,367  

 

The segment operating results of the reportable segments are disclosed as follows:

 

    March 31, 2020
    Betting establishments   Betting platform software and services   All other   Adjustments   Total
Net Gaming Revenue   $ 10,160,370     $ 9,804     $ —       $ —       $ 10,170,174  
Intercompany Service revenue     25,090       799,714       —         (824,804 )     —    
      10,185,460       809,518       —         (824,804 )     10,170,174  
                                         
Operating expenses                                        
Intercompany service expense     799,714       25,090       —         (824,804 )     —    
Selling expenses     6,210,347       553,897       —         —         6,764,244  
General and administrative expenses     1,245,510       444,538       581,830       —         2,271,878  
      8,255,571       1,023,525       581,830       (824,804 )     9,036,122  
                                         
Income (Loss) from operations     1,929,889       (214,007 )     (581,830 )     —         1,134,052  
                                         
Other (expense) income                                        
Interest expense, net     (49,349 )     3       (90,628 )     —         (139,974 )
Amortization of debt discount     —         —         (450,229 )     —         (450,229 )
Gain on marketable securities     —         —         130,000       —         130,000  
Other income     11,798       —         —         —         11,798  
Total other (expenses) income     (37,551 )     3       (410,857 )     —         (448,405 )
                                         
Income (Loss) before Income Taxes     1,892,338       (214,004 )     (992,687 )     —         685,647  
Income tax provision     (545,868 )     (5,530 )     23,360       —         (528,038 )
Net Income (Loss)   $ 1,346,470     $ (219,534 )   $ (969,327 )   $ —       $ 157,609