Tabcorp reports slight increase in revenue for fiscal H1 2022

Gambling operator Tabcorp has reported a slight 2.2% increase in revenue for the first six months of its financial year, reaching A$2.93bn (£1.55bn).

While revenue may have increased, group-wide profits fell 5.4% year-on-year (YoY) to A$175m. Despite this, lottery and keno achieved record revenue as it increased by 10.9% to A$1.74bn, with EBITDA rising by 15.1% to A$358m.

Wagering and media saw revenue fall 9.8% to A$1.07bn, with EBITDA dropping 34.8% to A$148m from A$227m.

This was heavily impacted by Covid-19-related retail closures in its largest market of New South Wales.

Gaming services revenue increased by 6.8% to A$78m, while EBITDA fell 4.5% to A$21m.

Commenting on the performance in the first half 2022, Tabcorp managing director and CEO David Attenborough said: “The record result from the Lotteries & Keno business again showcased the broad appeal of the business’ much-loved products and brands, and the success of its omnichannel strategy.”

Attenborough did go on to discuss the negative results from this first half of the financial year, noting: “While the wagering and media business was significantly impacted by the retail lockdowns imposed in NSW and Victoria, its performance across all channels improved once restrictions were lifted.

“The wagering and media business, and its digital performance, is much stronger when venues are open and customers can participate fully in the omnichannel experience, which is a key strategic point of difference.”

The wagering and media part of the business was subject to an offer from Entain in April 2021, but Tabcorp rejected the offer in July 2021.

At the time of writing, Melbourne-listed Tabcorp’s share price climbed 4% to A$5.36.