17th May 2005 11:13
Paddy Power plc17 May 2005 Paddy Power plc AGM Chairman's Update Statement Trading for the 19 weeks to 10 May 2005 Group turnover has increased by 30% in comparison to the same period last yearand turnover growth rates have been improving steadily throughout the businessover the year to date. Turnover has increased by 19% in the retail division, 30%in the telephone division and 67% in the online division. The first half of 2004 saw exceptionally strong bookmaking gross win percentagesdue to unusually favourable sporting results. As budgeted, 2005 has seen areturn to a more typical gross win profile with total gross win being relativelyflat in comparison to 2004. This reflects the strong growth in both bookmakingturnover and gaming revenues offset by the lower gross win percentages on thebookmaking business. Gross win percentages have been mixed with satisfactoryresults in the first quarter while results to date in the second quarter arebelow average due to a high number of Irish trained horses winning in April.Overall gross win percentages are below the mid point of the annual ranges as of10 May, particularly in the Irish retail division which has the highestproportion of horse racing business. No change is being made to guidance in theexpected annual gross win percentages ranges for each channel. Gaming revenues have seen continued strong growth in 2005 driven by excellentdevelopment of the casino and games product offering. We are pleased with thedevelopment of the poker business which commenced in February 2005. It remainstoo early to accurately predict the impact of poker in 2005 but we continue toexpect a small positive contribution for the year. Expansion of both the Irish and United Kingdom retail estates has continued inline with plan with 144 and 32 outlets trading respectively and we remainconfident of continued outlet growth in both markets. Opening of new outletsremains on track with a bias to openings in the third and fourth quarter in bothcountries. The group holds a total of 41 licenses in the United Kingdom. The group remains confident about its growth prospects for the year. Half yearand full year earnings should be in line with expectations assuming continuedturnover growth levels and the achievement of normal gross win percentages forthe remainder of the year. Earnings for the first half of 2005 should be closeto those of the same period in 2004, reflecting 2004's very challengingcomparatives, while the company is well positioned for a strong second halfperformance. A conference call will be held with analysts at 2.30pm with Ross Ivers, FinanceDirector. Dial in details are as follows; Ireland: 353 (1) 659 2812UK : 44 (0) 207 365 1832Code: 4297253 ENDS Issued on behalf of Paddy Power plc by Drury Communications, contact: Mark Cahalane/Oonagh Daly Trevor Phillips/David BickDrury Communications Holborn Public Relations, LondonTel: +353 1 2605000 Tel: 0207 929 55 99 For reference, contact: Ross Ivers, Finance Director, Paddy Power plc, Tel: +353 1 4045912 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
Flutter Entertainment