Bookmaker William Hill reported a 3 per cent rise in retail net revenue for the 17 weeks to October 24, putting the company on track to deliver full-year earnings in line with market expectations.
The group on Monday said that performance for online was particularly buoyant. Net revenue in that part of the business increased by 6 per cent. Retail net revenue rose by 3 per cent.
“We have delivered good financial and operational progress so far in the second half,” said Philip Bowcock, chief executive of William Hill. “Our online business has performed particularly well, with UK wagering 14 per cent ahead of last year, in spite of the absence of a major football tournament, and an acceleration in gaming growth.”
Internationally, the company’s US business delivered 28 per cent net revenue growth for the period, offsetting a slight decline in net revenue across Australia.
William Hill is also still awaiting the outcome of a US Supreme Court Ruling on the liberalisation of betting, which has the potential to bolster its performance in the country further. It is already the largest operator of sports books in Nevada.
Graham Spooner, investment research analyst at The Share Centre, said that if that ruling falls in William Hill’s favour, and if the group can navigate a decision in the UK on the amount gamblers will be allowed to put in their fixed odds betting terminals, it should be able to capitalise on next year’s FIFA World Cup.
“Due to the potential for further growth in mobile wagers, expansion into overseas markets and the prospect of further efficiencies within the business, we continue to recommend William Hill as a ‘buy’ for balanced investors,” he said.
