PMU mixed half year results

French operator Pari Mutuel Urbain (PMU) reported strong international development and online results partially offsetting a decline in the depressed French market.

Key performance indicators include:

–           Slight growth in total stakes of 0.2 percent to Euro 5.3 billion
–           Growth in gross gaming of 0.8 percent
–           Horse racing stakes down by 0.6 percent to Euro 4.9 billion
–           An increase in horse race betting gross revenues of 0.4 percent to Euro 1.26 billion

A strong economic downturn and a significant increase in unemployment affected PMU’s retail activity which reported a decrease of 4.2 percent.

Strong growth in the company’s international horse business offset disappointing results in the French market.

Betting on French races in the International markets that include Belgium, Germany and South Africa leapt 110 percent to Euro 288.7 million. This sector has quadrupled in the space of two years and has become a major source of growth for the company.

PMU strengthened its overall French online market share to 44 percent reporting an increase in online equestrian, sports and poker revenues of 5.7 percent to deliver turnover of Euro 868 million.

The operator said it continues to hold the leading position in horse race betting with a market share of 83.6 percent based on gross gaming revenue. The sector delivered Euro 495 million in stakes – a 1 percent increase. Holding second position in sports betting with a 25.6 percent market share, PMU reported an increase of 18.3 percent in stakes amounting to Euro 95.3 million.

Despite the declining market, PMU reported a 10.6 percent increase in online poker stakes amounting to Euro 278 million.

Total gross gaming revenues for internet operations amounted to Euro 144 million in the first half, an increase of 4.8 percent.

Strong growth in mobile revenues now represent 15 percent of horse race betting stakes and 25 percent of sports betting stakes.