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William Hill Operating Profit Down, While Revenues Rise

3rd Oct 2013 06:48

LONDON (Alliance News) - William Hill Plc. (WMH.L), a UK-based gambling company, reported Thursday that its third-quarter pre-exceptional operating profit was down 31 percent. However, net revenue increased 10 percent. On an underlying basis, revenues edged up 1 percent.

In its interim management statement for the 13 weeks ended October 1, the company said its overall quarterly performance was impacted by quiet July trading in Retail together with lower results-linked gross win margin in the quarter.

Overall Online net revenue was 2 percent lower in the period. Retail net revenue grew 5 percent, but declined 4 percent on an underlying basis.

The company noted that strong growth continues in Sportsbook amounts wagered, up 42 percent, with football Sportsbook wagering up 49 percent and mobile wagering on Sportsbook up 115 percent

Mobile gaming net revenue increased 126 percent, with mobile accounting for 18 percent of gaming net revenue.

Chief Executive Ralph Topping said, "During this quarter, results were not as favourable as in the comparable period, with outcomes - particularly in football - going the punters' way. ... While the fundamental performance of the Group remains good and there is time for the Group's shortfall versus internal expectation to be recouped should results turn in our favour, there can be no certainty that we will make up this shortfall before the end of the year."

He added that the company remains confident in the business and are encouraged to see signs that it is benefitting from investments.

Copyright RTT News/dpa-AFX


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