Solid underlying EBITDA growth with continued momentum in all divisions
The land and online gambling group Coral – set to merge with Ladbrokes this year – has posted a strong set of results for the sixteen week period to , highlighting:
* Total Coral Group EBITDA of £62.4 million – up 14 percent on the same period last year;
* Growth in all divisions;
* After adjusting for regulatory impacts EBITDA up year on year by 59 percent, thanks mainly to better football results;
* Online EBITDA of £18.5 million up 55 percent year-on-year and 194 percent ahead after adjusting for regulatory impacts.
* Online net revenue was 41 percent ahead, with Coral.co.uk 69 percent ahead;
* Coral Retail EBITDA of £40.7 million, up GBP 200,000 on last year, and £9.6 million or 31 percent ahead after adjusting for the impact of regulation, with OTC margins 1.5pp ahead;
* Eurobet Retail EBITDA of £5.1 million up 132 percent year on year with strong sports stakes growth and sports margins 5.9pp ahead;
* Sale of Gala Retail to Caledonia Investments for a headline price of £241 million completed on 19th December 2015.
Carl Leaver, Group CEO, commented:
"Online growth was strong driven by CRM-led reductions in churn and high levels of customer acquisition at market leading costs-per-acquisition.
"Multichannel continues to play a key role in driving both customer acquisition and retention as customers embrace the unique features of our Connect offering.
"Coral Retail saw positive OTC stakes growth and a good machines performance. Strong growth in Eurobet Retail was helped by the relocation of 250 shops to more profitable locations.
"We continue to work constructively with the Competition and Markets Authority as it progresses through phase 2 of its review of the proposed merger with Ladbrokes PLC.
"Timescales are in-line with our expectations, with the next key milestone being the CMA's announcement of its provisional findings, and if required, proposed remedies, in mid-to-late April. A final decision is due by 24th June. In the meantime our teams remain firmly focused on the execution of our strategy. We are confident that we are very well placed for the year ahead."
Online Casino News Courtesy of Infopowa