Ladbrokes reports 6% drop in operating profits

Ladbrokes has reported a 6% year-on-year drop in first-half operating profits at its Irish operations.

Ladbrokes reports 6% drop in operating profits

As part of its interim results presentation yesterday, the British betting services giant said its business in Ireland — which covers 213 shops in the Republic, 79 in the North and a popular online presence — generated an operating profit of £6.3m (€7.3m) for the six months to the end of June. This was down from a figure of £6.7m for the corresponding period last year.

Irish net revenue, however, was up by 2% year-on-year to £41.3m.

While the amount of money punters spent on bets over the counter fell by over 4%, Ladbrokes’ gross wins here amounted to £42.6m; an increase of 2.2% on the same period last year.

On a group-wide basis, Ladbrokes’ first half performance was hindered by a number of aspects — including the lack of a major international football tournament in the summer, some cancelled horseracing meetings in the first quarter of the year and a flat performance at the major racing festivals of Cheltenham, Aintree and Ascot.

First-half net revenue was up by almost 3% to £566.5m; but pre-tax profits were down from £106.9m to £55.1m — and after-tax profit fell by 58.4% to £47.2m.

Operating profit at the group’s core UK business fell by nearly 20%, while there was a slight widening of losses at its Spanish business and a lowering in operating profit in Belgium.

Ladbrokes said Betdaq — the betting exchange founded by Dermot Desmond acquired earlier this year — is “making good progress” in being developed as a standalone business.

Ladbrokes said the July heatwave saw a reduction of 10%-15% in customer footfall at its stores.

More in this section

The Business Hub

News and analysis on business, money and jobs from Munster and beyond by our expert team of business writers.

Sign up
Puzzles logo

Puzzles hub

Visit our brain gym where you will find simple and cryptic crosswords, sudoku puzzles and much more. Updated at midnight every day.

News Wrap

A lunchtime summary of content highlights on the Irish Examiner website. Delivered at 1pm each day.

Sign up

Our Covid-free newsletter brings together some of the best bits from, as chosen by our editor, direct to your inbox every Monday.

Sign up