Cheltenham boosts Ladbrokes revenue
On a group-wide basis, the British bookmaker saw net revenues rise by just under 9% year-on-year over the first three months of this year. Group operating profit was up by 3.9% at £50.4m (€62m); driven by growth in its British and European retail divisions.
The group’s chief executive, Richard Glynn, said that the quarter had been “another period of progress” for the company and that it is in line with expectations for the full-year.
Interestingly, a good growth area for the group has been revenues from its in-store electronic betting terminals, in its British shops, which allow for speedier ‘in-play’ betting options for punters. These machines are currently not permitted in Irish betting shops.
Earlier this week, Ladbrokes issued a report as to its worth to the Irish economy, saying that it contributed almost €73m to the ~exchequer in 2011.
Ladbrokes has been an aggressive growth-orientated company in Ireland — with 200 shops here, it is second only to Paddy Power in the Irish market.
However, Joe Lewins, the head of the company’s Irish operations, said that further expansion would depend on the Government modernising the betting industry here. He has called for urgent reform of the sector, with updated legislation allowing for longer opening hours and the use of electronic betting tools.
“The 1931 legislation governing the sector isn’t fit to meet the challenges of emerging 21st century technologies, and this is leaving the sector unable to compete on a level playing field. The sector, in Ireland, is at a crossroads and any move by Government to remedy the current difficulties must take a holistic approach to reform. If these concerns are not urgently addressed, the sector will continue to struggle,” he said.
