Down in the rankings: Grosvenor and Mecca see sharp decline in 2020-21 figures
The Rank Group has announced its preliminary results for the 12 months ended 30 June 2021. Following a challenging year, with the ease of lockdown restrictions now taking place worldwide, the main focus is surrounding business recovery after the global pandemic.
Trading was 19% below pre-pandemic levels in the most recent 13 weeks of Grosvenor’s trading period, with Mecca 21% below pre-pandemic levels. As the restrictions were eased on 19 July 2021, revenue increased further over this period with weekly revenue increasing more so, by a further 5% for Grosvenor and Mecca. Digital divisions of the business’ most recent trading are described as “in line with expectations”, although this too saw a decrease of 6% in digital underlining NGR, at £136.3m ($186.5m).
The operator’s financial KPIs took a tumble with its figures during the last year, with group underlying net gaming revenue (NGR) falling 50% to the value of £288.2m ($394.3m). Venues’ underlining NGR saw a pertentage decline of 65% at £151.9m, with an underlying operating loss of £67m, £238% down from last year’s £48.4m.
In terms of its statutory performance, again, the company’s figures dipped following the closures and restrictions of casino gaming, with reported NGR showing a £329.6m loss of 48%. Group operating loss was a value of £92.9m, illustrating a 532% reduction alongside the company’s net debt figures showing at £256.7m, a 14% loss.
Edison Group Director, Russell Pointon, said: “Looking forward, the next phase of the transformation process is well underway, which was generating improving results prior to Covid. In FY21 Grosvenor and Mecca land-based activities traded under normal conditions for zero days, were fully closed for 66% and 58% of days respectively, and the balance of the days had some form of operating restrictions.
“From a financial perspective the group expects to meet all future liquidity and financial covenant tests.”
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