Online Revenues Up At Ladbrokes

ONLINE REVENUES UP AT LADBROKES

21st February, 2013 at 02:33:17
Source: http://www.azonlinecasinos.com

But operating profits take a hit in 2012

The online and land gambling group Ladbrokes plc has turned in a positive report for 2012, thanks mainly to strong growth in its retail operations (Source: AZOC online casino directory, Feb 2013).

Although digital revenues increased, operating profit in the division took a big 39.3% hit, declining y-o-y from 52.4 million to 31.8 million.

Highlights of the report for the year ended December 31 2012 included:

* Group net revenue grew by 7.4% to 1,053.3 million

* Group operating profit of 206.1 million, up 8% (up 25.8% including High Rollers)

* 14.1% increase in full year dividend

* Net debt reduced by a further 67 million to 386.9 million

The company reported a strong retail performance, especially in sports betting, that included:

* UK Retail operating profit of 180.7 million - up by 18.6 percent.

* Consistent growth in UK Retail OTC net revenue, 3.8% up for the year

* Machines net revenue growth of 13.9 percent, roll out of next generation terminal starting Q4 2013

* 100 net new UK shop openings planned for 2013

* Operating profit in European Retail up over 50 percent

Despite the weak operating profit in Digital, the company declared that digital development at the group is on track, with:

* Digital net revenue growth of 9% driven by sportsbook after a strong Q4

* Enhancements to trading contribute to significant increase in sportsbook margin, up 100 basis points

* Full launch of new sportsbook website to UK customers during Q1 2013

* Mobile platform on track to go live in Q2 2013. Mobile net revenue up 93.6% in 2012

* Betdaq acquisition in 2013 will enable a differentiated offer and one stop shop for customers

Ladbrokes already have a strong online division with sportsbook, casino and poker products (the casino has been online since 2003 and is one of several Microgaming casinos reviewed and featured here at AZOC).

Richard Glynn, Ladbrokes chief executive reported:

We are continuing to transform Ladbrokes, with the resilience and reinvigoration of the UK Retail estate driving another year of growth in profit per shop.

"The development of the Digital business is progressing well and our investment in trading systems is generating improved quality of earnings. Ongoing business momentum has enabled us to deliver a strong group performance with growth in revenue, operating profit and dividend.

"2013 will see us continue to drive investment in areas where we see opportunities to grow the business. We will accelerate our programme of shop openings, focussing on areas of unmet demand. In machines, whilst the market is becoming much more competitive, we expect to generate continued growth through the use of Odds On, more exclusive games and the roll out of the latest new terminal towards the end of the year.

"In Digital, after a delay during 2012, we will complete the roll out of our new sportsbook and mobile platforms in Q1 and Q2 2013 respectively and look to improve our capability around customer relationship management. We expect these developments to drive growth in Digital revenues and earnings, particularly during the second half of the year.

Related News Tags: , ,



« News index »



MPN FLAGS MALTA TOURNAMENT

29th March, 2017 at 19:48:16
Euro 150,000 guaranteed prize pool.

MICROGAMING PLAYING IT FORWARD AGAIN

29th March, 2017 at 15:16:22
Charity tournament benefits numerous charities across the globe.

UK COURT GREENLIGHTS BETSSON'S NETPLAY ACQUISITION (Update)

29th March, 2017 at 15:16:22
Deal expected to complete later this week.

SPORTECH FULL YEAR 2016 RESULTS

29th March, 2017 at 15:16:22
Results fail to impress but transformational period positions company for growth, Board believes.

NEW TELEVISION ADVERT FROM ONLINE CASINO

28th March, 2017 at 19:47:54
PlayOJO.com begins major marketing push in UK.