William Hill Internet Gambling Profits Surge
A 23% year-on-year revenue for its internet net profit has been recorded by William Hill online casino. This comes just after rival London-listed bookmaker Labrokes’ egaming figures failed to make an impression on analysts.
For the 26 weeks ended in June the internet casino (WHO) recorded a first half rise from £124.2m to £152.7m, in conjunction with a 2% rise in retail revenues, effectively contributing toward a profit before tax of £126.9m, a 23% increase for the same period in comparison to 2010.
Ralph Topping the CEO, in June signed a new contract with the bookmaker, was impressed with the results obtained taking into account “The comparator period also included part of a World Cup that delivered a record result for us last year”.
This morning’s statement read as follow, Topping ascribed the internet profits to “exceptional sportsbook growth and innovations in our in-play and mobile offerings,” with the new mobile offering in partnership with Mobenga expected to drive further growth.
For the first half of the year if one has to compare Ladbrokes’ internet net revenue was behind analyst predictions at £85.7m as a result of poor casino performance. It had to adjust its net revenue growth just after the World Cup, it stood at 6.6% and 19.1% in digital and sportsbook respectively.
A year-on-year increase In-play betting experienced amounts staked at 95%, at the same time mobile revenue experienced a 600% growth, it generated £3.7m in net revenues by William Hill’s mobile offering and was the same to 7% of total sportsbook net profits.
For the first half of 2011 the non-controlling interest Playtech has in William Hill Online came to £16.5m, generated in the second quarter was £7.8m, with the half-yearly figure that has gone up by £3.6m in comparison to the same period in 2010.
William Hill internet casino aims to increase its advertising campaign since it entered the regulated Italian casino and cash poker market. Italian spending is expected to increase the marketing net revenue ratio “in the region of two percentage points” from the current 26% figure.
No word was mentioned pertaining to the lawsuit Cantor Gaming brought in against the CEO of Brandywine Bookmaking, the US-based sportsbook William Hill decided to purchase in May. However, according to the binding agreements to obtain Brandywine plus fellow sportsbooks Cal Neva and American Wagering does not go ahead, then William Hill would incur costs of US$4.9m (£3m).[addtoany]