Betfred digital turnover up 15%
Operator records online turnover of £1.9bn for the 18 months to 28 September 2014
Privately-owned bookmaker Betfred this morning reported digital turnover of £1.9bn for the 18 months to 28 September 2014, the operator’s first set of results since altering its reporting period.
The figure equates to a pro-rata turnover rise of 15% when compared to the £1.1bn posted during the 12 months to March 2013.
The firm, which switched its financial year away from April to March in order to avoid clashes with the Aintree and Cheltenham festivals, operates the Betfred.com and Totesport.com brands through its Gibraltar-based subsidiary Petfre, which it acquired in January 2014.
And while the company chose not to report any additional online figures, filings with Companies House showed its online launch and subsequent withdrawal from Australia last year cost the company £3m.
The report also described the challenges faced by the operator in the online market, particularly through its Tote digital business which it said “continues to decline” but was confident it could “turn the business around” in FY15.
However, the Betfred business is predominantly driven by its large retail estate comprised of approximately 1,400 high-street shops, which during the 18 months posted turnover of £11.4bn – 86% of total group turnover.
EBITDA for the group amounted to £102m, which on a pro-rata basis was relatively flat on the £69m recorded in FY13, while gross profit amounted to £593m. Group net debt reduced from £213m to £145m.
The firm also said it paid £37.7m into the racing levy during the period, while its contribution to the UK Exchequer was £158.7m, an 18% pro-rata rise following increased taxes.
“Although we have faced increased taxation, regulation and a very competitive market place we are delighted to report a positive set of results for the Group with all divisions performing well,” John Haddock (pictured), Betfred Group CEO, told eGaming Review.
“Over the last six months there’s been a lot of hard work from a very dedicated and hardworking team within Betfred, this has now put us in a strong position to benefit from the massive investment we put into people, infrastructure and technology that will benefit the customer and the company in the future,” he added.
Last week Betfred confirmed it had completed the first stage of its Totepool upgrade following a 10-year deal signed with pools provider Sportech in 2014.