26th Feb 2016 08:03
LONDON (Alliance News) - William Hill PLC on Friday reported a drop in profit in 2015, as revenue fell slightly following a tough comparative period which included the football World Cup and as it faced additional gambling duties in the UK, but increased its dividend payout ratio and announced a share buyback.
The betting company said pretax profit in 2015 fell to GBP184.7 million from GBP233.9 million in 2014, as revenue decreased by 1% to GBP1.59 billion from GBP1.61 billion.
William Hill said its results were hit by the lack of a major football tournament in the period, as the prior year benefited from the FIFA World Cup, a lower average number of betting shops, less favourable sporting results in retail, and extensive work to refocus the Australian business.
Cost of sales was also 28% higher, reflecting additional gambling duties in the UK.
William Hill will pay a total dividend of 12.5 pence for the year, a 2.5% increase on the 12.2p it paid in 2014, and said it has increased the dividend payout ratio to around 50% of adjusted earnings. It will also complete a GBP200 million share buyback over the next year.
"As one of the largest scale businesses in gambling, the board is confident in the outlook for the year ahead and believes the group is well placed to deliver on its growth strategy," Chief Executive James Henderson said in a statement.
By Karolina Kaminska; [email protected] @KarolinaAllNews
Copyright 2016 Alliance News Limited. All Rights Reserved.
Related Shares:
WMH.L