Continent 8 Technologies provide world class state-of-the-art co-location, outsourced Internet infrastructure, and managed hosting services to the...
European business is helping SportingBet
Leading online sportsbetting and gaming firm SportingBet has announced its unaudited results for its first quarter showing a 25.9 percent year-on-year rise in net gaming revenues to £48.6 million.
The London-based firm also reported a 15.5 percent year-on-year increase in earnings before interest, tax, depreciation and amortisation to £9.7 million while its adjusted operating profits rose 9.2 percent from the same period in 2008 to £7.1 million.
Its bottom line was helped by a 56 percent year-on-year increase in European sports net gaming revenues to £27.2 million along with further growth in the popularity of its in-play services. SportingBet highlighted the fact that its European sports gross margin rose over one percent from the same period last year to 11.3 percent off 17.4 million bets, which was 42 percent up on the same period in 2008.
Although earnings for the quarter were impacted by a poor run of Australian horseracing results, SportingBet reported group operating profits of £6.3 million, which an increase of 21.2 percent year-on-year, while its net cash was up 5.9 percent compared to the same period in 2008 to £20.6 million.
“I am pleased to report a solid performance for the seasonally quieter first quarter of the new financial year,” said Andrew McIver, Chief Executive Officer for SportingBet.
“Group performance continues to be driven by the European sportsbetting business, which has seen strong growth in all its key metrics including amounts wagered, net gaming revenues and active customer numbers.
“The Australian business continues to benefit from deregulation with the Internet business driving amounts wagered up strongly. As previously reported, the business suffered from poor horseracing margins through August and September, which have since recovered to more normal levels.
“Casino and gaming revenues have performed well, benefiting from an increased and enhanced product range. The European poker market remains difficult with ongoing competition from companies that continue to accept US resident players.
“Trading since the start of the second quarter has remained robust with the additional benefit of Australian margins returning to more normal levels. The group performance to date gives the board confidence with regard to the remainder of the financial year.”
In addition, the firm has announced the issue of 4,797,666 ordinary shares priced at one penny each to satisfy employee obligations under a 2006 plan. The new shares will be traded on the London Stock Exchange while an additional 10,936,949 shares have been issued but are to be retained by employees.
