Online betting boosts Ladbrokes Coral profit

Betting giant’s revenue up 1 per cent to £1.19 billion as operating profit rises 7 per cent

Ladbrokes Coral Group reported  operating profit of £158.8 million (€172.5 million) for the six months to June 30th.

Ladbrokes Coral Group reported operating profit of £158.8 million (€172.5 million) for the six months to June 30th.

 

British betting company Ladbrokes Coral Group reported a 7 per cent rise in first-half operating profit on Thursday driven by strong trading online.

The company said operating profit for the six months to June 30th rose to £158.8 million (€172.5 million).

Revenue rose 1 per cent to £1.19 billion.

The company was formed last year when Ladbrokes joined forces with Coral in a $3.4 billion merger. Sources said last week that online gambling company GVC had recently discussed a takeover of the group but talks ended without a deal.

Britain’s gambling sector has been transformed by a wave of deals as companies try to bulk up so that they can absorb the rising costs of stricter regulation and higher taxation.

The merger of Ladbrokes and Coral was one of a number in the sector, with Paddy Power and Betfair also having joined forces.

Ladbrokes has been trying to strengthen its online gambling offering as a possible crackdown by the UK government on betting terminals in high-street shops threatens to hit its retail operations.

Online revenue, a key focus area for the company, rose 17 per cent to £374.5 million with big increases in Britain, Italy and Australia.

Revenue from retail operation in the UK fell 6 per cent with a 7 per cent decline in comparable over-the-counter staking.

Ladbrokes Coral trades from more than 3,500 shops across England, Wales and Scotland under the Ladbrokes and Coral brands. – (Reuters)