26th Sep 2013 07:08
LONDON (Alliance News) - Ladbrokes plc (LAD.L) expects 2013 operating profit before exceptional items for the Digital division to be below current market view and within a range of 10 million pounds - 14 million pounds. In Digital, the firm is yet to see discernible improvements as it continues to work through a significant process of integration.
According to the company, the July month was difficult for its UK Retail business. Since that period, machines performance has stabilised with some growth on an overall gross win basis. Footfall has recovered with a significant improvement in OTC amounts staked, although results have driven lower than anticipated trading margins across the business.
Commenting on the update, Richard Glynn, Chief Executive said: "Our Digital earnings have been disappointing reflecting a lack of competitiveness in sportsbook, lower margins than planned and a greater disruptive impact than expected from the transition necessary to grow Digital for the long term.
We remain focused on the operational changes required to deliver momentum in the retail business and to achieve a fully integrated digital platform. These are on track to be completed between now and the early part of 2014. We remain confident that the strong foundations we are putting in place will drive performance during 2014 and beyond. "
Copyright RTT News/dpa-AFX
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