Tabcorp Revenue Up in the Third Quarter
Australian betting giant, Tabcorp, has released its trading update which shows revenue growth of 1.9 percent to $518.4 million for the third quarter, compared to the same period last year. Although revenue from wagering was limited, growth from their gaming services and keno were solid. Group revenue also increased by 1.9 percent in Q3 to $1.65 billion.
“Tabcorp continued to drive revenue growth in the third quarter, with pleasing levels of customer engagement across the group,” announced David Attenborough, chief executive of Tabcorp.
“Wagering turnover grew more than three percent, although the revenue performance was impacted by favourable results for customers.”
Sports betting revenue grew 7.2 percent to $47.7 million, while total wagering turnover in Q3 was up 3.1 percent to $3.07 billion. The company’s wagering and media operations grew by only 0.5 percent to $442.8 million, while their TAB racing dropped by 0.4 percent to $395.3 million as they continued with the migration from totalisator betting to fixed odds betting.
Digital turnover rose 15.2 percent as punters continue to favour placing bets via digital channels as opposed to retail outlets or by telephone.
Gaming services was another area of strong growth for Tabcorp with revenue from gaming services growing by 11.2 percent in Q3. Tabcorp supplies technical and support services for gaming machines that operate in pubs and clubs and recently expanded its service to provide support to new venues that opened in NSW. The company expects this figure to grow further as the number of gaming machines under contract in NSW is expected to grow from 412 to 713.
Tabcorp reported increased revenue of 10.9 percent to $48.7 million for its keno business in Q3 with particular growth in NSW and Victoria.
April 16, 2017