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Sportingbet First quarter report shows good NGR and pre-tax profits

Online gambling group Sportingbet's belt-tightening has started to deliver results, with a brighter first quarter report that shows a pretax profit of GBP 4.9 million, net gaming revenue growth up 28 percent to GBP 38.9 million, and sports betting net gaming revenue growth of 34 percent.
 
Operating profit was up by 45 percent to GBP 6.1 million, and the group had net cash of GBP 19.5 million at quarter's end. A further GBP 22.3 million is held in liquid assets.
 
Group CEO Andrew McIver said, "Performance during August, September and October has provided a solid start to the new financial year. As the business enters its busiest two quarters, our focus will continue to be on the provision 

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of quality and value sports betting services to a globally diversified customer base. This core revenue stream will continue to be supplemented by our additional casino, poker and games offer.
 
"Whilst sports betting has historically shown itself to be 'recession hardy', no industry is 'recession proof'. Unfortunately there is also no empirical data with regard to the online casino and poker industry to estimate what the impact of an economic downturn may or may not be on these products. That said, customer metrics remained very robust both during the quarter and in the four weeks since it ended. As such the Board remains cautiously optimistic in achieving the Group's full year forecast."
 
McIver also revealed that the company has plans to grow sportsbook revenue through a focus on live streaming of sporting events for its key markets. The company launched its live streaming on 29 October 2008 and raw data has so far showed an increase of  between 5 percent and 10 percent in total gaming revenues.
 
Finance director Jim Wilkinson said the company suffered an initial drop in margins on in-running betting, but those margins had “recovered to the previous levels as we increased the number of markets we offered in-running”.
 
Sportingbet also reported a 25.4 percent rise in gross win to GBP 364.9 million.  The group reported a pre-tax profit of GBP 4.9 million, compared with a loss of GBP 1.4 million for the three months to October 2007.
 
European NGR from sports betting was up 19 percent on the previous year, McIver reported, whilsy the Australian business saw an impressive 97 percent growth, almost doubling to GBP 7.1 million for the quarter due in part to the relaxation of advertising restrictions in new South Wales and Victoria . 
 
Online casino activities saw NGR increase by 34 percent, helped by a strong flow of customers cross-marketed from the Sportingbet sport sites. The industry trend toward weaker poker action was reflected in Sportingbet's online poker results, with NGR down 4 percent as a result of having to exclude U.S. poker action. Talks with the US Department of Justice were progressing, according to finance director Wilkinson.
 
Spanish, Greek and Eastern European markets, all delivered positive growth, but the group continued to struggle in the UK and Italy due to overservicing of the markets and expensive media environments. Sportingbet's overall margins in its European markets are around 10.7 percent and those experienced during the live streaming of sports events were 9.4 percent, Wilkinson revealed. 
 
Perhaps predictably after recent run-ins with the authorities there, the results from the Turkish market were poor - NGR fell 42 percent as the group downsized its operations in that country. On the positive side, the company has plans to launch sportsbetting in the regulated South African market.



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US$30M DUBAI WORLD CUP - Racecourse Media Group and Meydan to showcase world’s richest raceday to more than 150 territories The Dubai World Cup is the first horse race to be broadcast live on airlines and cruise lines

NHL Odds: Forsberg Faces Elliott in Nashville - The last time the Nashville Predators played against the Calgary Flames, Calgary had a 4-1 lead five minutes into the second period. Nashville responded with four back-to-back goals, including a hat trick from centreman Filip Forsberg. Both teams went into overtime with five goals, and Calgary defenseman Mark Giordano (12 goals, 22 assists) scored the winning goal.

Sit & Go 2.0 launched online exclusively at Americas Cardroom - Get ready to cheer like a champion before the first flop is even dealt. The much-anticipated Sit & Go 2.0 is now launched online exclusively at Americas Cardroom and Sit & Go players are reaping the benefits of the next evolution of poker.

NBA Odds: Hawks, Wiz in Southeast Showdown - The Washington Wizards (42-27 SU, 36-32-1 ATS) can pretty much secure the Southeast Division title with a win Wednesday night over the Atlanta Hawks (37-32 SU, 31-38 ATS). Tip-off is at 8 PM ET on ESPN; the Wizards lead Atlanta by five games with less than a month remaining before the playoffs.

Mega Moolah progressive jackpot Hit Again - Microgaming’s Mega Moolah progressive jackpot slot has been hit yet again at just over €6.6 million!

NBA Odds: Clippers Try to Slow Down Bucks in LA - Milwaukee Bucks small forward Giannis Antetokounmpo and Los Angeles Clippers power forward Blake Griffin are two of the most talented and versatile forwards in the NBA. The two lead their teams into battle on Wednesday in Los Angeles.

NCAAB Odds: SMU Hosts Tulsa With AAC Title on the Line - There aren’t too many college basketball teams more profitable than the SMU Mustangs (25-4 SU, 18-5-1 ATS). They host the Tulsa Golden Hurricane (14-14 SU, 15-12 ATS) this Thursday night, tipping off at 8 PM ET on CBSSN.

NHL Odds: Canadiens Welcome Islanders Tonight - The Montreal Canadiens (32-20-8) welcome the New York Islanders (28-21-10) on Thursday (7:30 PM ET on SNE). After getting their first victory under new head coach Claude Julien, the Canadiens will look to build on that momentum against a red-hot Islanders team.

NHL Odds: Reeling Flyers Seek Relief in Pittsburgh - #nhl The Philadelphia Flyers have been a bit off since the holidays. They’ve won just eight games since the Christmas break, and now they’ve got a tough one coming up this Saturday night against the Pittsburgh Penguins.

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