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PMU posted its full year 2014 results

Tuesday january 13,2015 : PMU REVEALS CHALLENGING YEAR

But says performance still in line with expectations

French gambling operator Pari Mutuel Urbain (PMU) posted its full year 2014 results delivering a performance that it said is in line with forecasts despite a decline of 2.2 percent in gross gaming revenue to Euro 2.48 billion and a 4.1 percent decline in gross profit to Euro 9.98 billion.

The company identified its key highlights during 2014 as the  development of International horse race betting that delivered growth of 14 percent in stakes to Euro 727.5 million and a strong sports betting performance during the World Cup saying PMU had taken 27 percent market share and attracted 80 000 new customers.

PMU’s core pari mutuel horse race betting business felt the bite of a tough economic climate with stakes falling 5 percent to Euro 9.16 billion and gross profits down by 2.6 percent to Euro 2.4 billion.

Retail sales also fell by 5.8 percent to Euro 7.515 billion.

PMU’s total online stakes reflected a 2.9 percent decline to Euro 1.6 billion, however, online sports betting stakes rose 14.9 percent to Euro 228.7 million.

Online poker showed a good performance in a declining market with a rise in stakes of 3.8 percent to Euro 591.6 million, however gross profits totalling Euro 21.3 million were down 1.4 percent.

Online horse race betting stakes decreased 10.6 percent to Euro 843 million, a reflection of the performance reported from its land-based vertical.

Mobile betting saw a 33 percent increase in horse race betting stakes, 45 percent in sports betting stakes and an impressive 235 percent rise in poker stakes.

"The PMU contained a decline in its 2014 gross gaming revenue while pursuing its development strategy in France and abroad combined with a cost-cutting plan”, commented chief executive officer of PMU, Xavier Hurstel.

“This approach will allow a net income for the benefit of the horse racing industry in line with the commitments made ​​in 2013.

“The PMU is a solid company and it is this strength that allows it to withstand today and maintain this level of performance.”

Looking ahead, PMU’s focus in 2015 will be on the continued transformation and modernisation of its network. 

A complete redesign of its central computer system is ongoing which it says will ultimately allow for increased business innovation and customer satisfaction.



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