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Gala Coral Growth

Looking to sell off retail division
UK operator Gala Coral said its online performance boosted strong growth in its quarter three results.
Key performance indicators for the 12 week period ending July 5, 2014 include:

  • Total group EBITDA of GBP 67.2 million (Q3/2013: GBP 56.9 million), up 18 percent.
  • An increase of 15 percent in continuing operations turnover to GBP 292.7million (Q3/2013: GBP 254.9 million).
  • Gross Profit from continuing operations amounted to GBP 208.3 million, up 10 percent.

Key performance indicators for the 9 month period ending July 5, 2014 include:
-     Total group EBITDA of GBP 205.5 million (9M/2013: GBP 193.8 million), up 6 percent.
-     Turnover continuing operations of GBP 951 million (9M/2013: GBP 853.1 million), up 11 percent
-     While Gala Coral's retail business suffered, its online division posted strong results delivering total EBITDA of GBP 43.7 million (9M/2013: GBP 20.6 million)
“The group delivered another strong performance with EBITDA ahead in all divisions and 20% overall", commented Carl Leaver, group chief executive officer of Gala Coral Group.
“Growth in the online business continues to be very encouraging, in particular in, where customer acquisition offers, together with ‘Coral Connect’ sign ups, helped drive actives 94% ahead of last year."
Group Online EBITDA was GBP 4.4 million, 51 percent ahead of last year while Gross Profit came in at GBP 11.7 million, 50 percent ahead of last year.
Online sports stakes were GBP 85.1 million or 126 percent ahead of last year and sports gross win GBP 5.5 million or 121 percent ahead.  Bet In Play stakes increased 140 percent year-on-year primarily driven by the launch of live streaming.
“During the quarter ‘Coral Connect’, which allows customers to access a single wallet across retail and online channels, continued to receive a positive response from customers with sign-ups now over 110,000", Lever said.
“We remain pleased with the turnaround in the performance of Gala Retail and have recently embarked on a process to explore the potential sale of this division.”

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