Q3 performance released by Sportingbet

The UK publicly listed online gambling group Sportingbet plc released its Q3 numbers ended April 30 Wednesday, showing:

* Amounts wagered up at GBP 555.9 million (Q3 2011: GBP 507.3 million)

* Net gaming revenue down at GBP 43.4 million (Q3 2011: GBP 54.7 million) 52 percent of NGR was generated from regulated territories and a further 24 percent came from territories where the group is paying tax ahead of expected regulation.

* EBITDA down at GBP 10.8 million (Q3 2011: GBP 16.1 million)

* Net cash down at GBP 24.8 million (Q3 2011: GBP 31.4 million

The Australian companies delivered soaring amounts wagered, up 78 percent to GBP 369.1 million, with NGR up 116 percent to GBP 18.1 million. Mobile alone accounted for 34 percent of NGR in April.

In Europe and emerging markets the story was less encouraging, with amounts wagered down 38 percent to GBP 186.8 million, and NGR down 47 percent to GBP 24.2 million.

The business was impacted by the Codere injunction, which halted Spanish operations from 27 March 2012, but a Spanish licence is expected early June 2012 followed by the anticipated lifting of the injunction.

Annualised fixed costs were reduced by GBP 15 million, the company achieved margins of 10.1 percent on in-play betting, and mobile player numbers grew by 150 percent.

Group chief executive Andrew McIver said: ”Our Australian business, which accounts for over 90 percent of our profits, continues to go from strength to strength. The integration of Centrebet is nearly complete and our combined Australian business grew NGR by 116 percent in the quarter.

“Europe continues to be impacted by the recession and the effects of regulation. As we have demonstrated in Australia, the long term benefits of regulation are clear but  take time to manifest themselves.”

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