American online horse racing and wagering site Youbet.com has announced its results for the previous quarter showing gross income from continuing operations of just over $2.28 million.
The California-based site reported a loss of $391,000 for the same period last year, a clear sign that a restructuring programme it initiated during the second half of 2007 is working.
Total revenues for the quarter came in at $29.24 million, a 12.1 percent drop on 2007’s $33.27 million due to a 14 percent fall in year-on-year profits from Youbet Express. The suburban Los Angeles firm stated that this fall was primarily down to the loss of the TrackNet contest in 2007 along with its decision to stop accepting bets from customers in Arizona, Kansas and Washington, DC.
The firm also revealed that revenues from its United Tote subsidiary fell by five percent to $6.4 million as a result of a track closing along with contract losses and a lower handle on existing contracts.
“We are pleased with our second quarter results,” said Michael Brodsky, Chief Executive Officer for YouBet.com.
“Improved operating efficiencies and a back-to-basics approach has provided us with our second consecutive quarter of profitability. We remain focused on growing our handle and net track revenue at Youbet Express as well as maximising United Tote profitability.”
For the half-year, Youbet.com revealed that total revenues dropped by 13.1 percent to $53.75 million while gross profits also fell by 0.8 percent to $21.26 million. However, income derived from continuing operations rose by a massive 1,726.2 percent to $3.48 million from a loss of $191,000 last year.