bedegaming.gif
bedegaming.gif
bedegaming.gif
CLOSE
× Gambling News In-Depth iGaming Calendar Connections GI Friday Trafficology GI Magazine
GGA 2019 AffiliateCon
NEWS 12 June 2019

Betfred posts £40.7m loss as retail costs undermine revenue growth

By Tim Poole

Betfred has reported a £40.7m ($51.8m) loss after tax for the 12-month period ending 30 September 2018.

The loss is significantly higher than the operator's 2017 deficit of £28.7m and was primarily the result of retail costs.

Betfred was able to post a 7% year-on-year increase in the amount wagered by customers, to £13.49bn.

Revenue (turnover) rose by an even higher figure of 15%, to £727.6m, with gross profit subsequently also growing 15%, to £573m.

EBITDA before "operating exceptional costs" was up 43% to £119.4m.

But the aforementioned costs totalled £119.6m, heavily impacting Betfred’s operating loss for the trading period.

Betfred suggested the UK Government’s reduction of fixed-odds betting terminal maximum stakes from £100 to £2 had impacted the loss (although the restrictions were only implemented on 1 April 2019).

Predominantly however, the exceptional costs related to "impairments of the retail division following the results of the Triennial review."

RELATED TAGS: Online | Land-Based | Financial
DISCUSS THIS ARTICLE
IN-DEPTH 23 May 2019
Is DFS under threat?
Industry experts help Tim Poole examine the future of daily fantasy sports, with legalised sports betting now exerting its influence over several markets in the US
READ MORE
PREMIUM CONNECTIONS
VNE