|Sportingbet plc, the online sports betting and gaming group, has announced its results for the second quarter ended 31 January 2007.|
The results show some steady growth during the quarter, although the figures do represent profit excluding the US business, which was sold October 2006 resulting in the companyís complete withdrawal from the United States.
Financial highlights from the second quarter show gross profit from continuing operations up 40 percent to £34.7 million compared to £24.7 million for the same period in 2006. Group operating profit is up 54 percent to £2 million (2006: £1.3m), despite legacy costs. Cash on the balance sheet, net of customer liabilities, is at £35.5m.
Business highlights dictate that the business is now benefiting from the swift management actions taken to restructure and reduce cost base, with £56m of annualised costs removed from the ongoing group so far, with additional initiatives in place to further improve efficiencies. The figures also indicate strong growth in sports active customer numbers, up 28 percent, and sports bet volumes up 44 percent.
Other highlights included the companyís new software agreement with Boss Media, combining all the Groupís poker players onto the Boss Network; the acquisition of assets of a Turkish marketing partner for an initial £3.5m and deferred consideration of up to £35.3m Sportingbet Plc shares; and future investment in Sportingbet Italia, taking ownership from 50 percent to 90 percent.