In-Game Betting Service Sees Sportingbet's Q1 Results SoarNovember 26, 2009 11:42 am
Sportingbet, the British e-gaming company and operator of Paradise Poker, has seen profits increase by 56% to £6.1 million in Q1 ended Oct. 31, from the same period in 2008 of £3.9 million.
Despite a slump in the online poker market, Sportingbet was able to increase its overall profits by introducing live streaming a year ago, which has helped increase its sports bet volume by allowing punters to place bets during games.
“People want instant gratification,” explained chief executive Andrew McIver, “A football match lasts 90 minutes. If your bet is on the outcome, you’ve essentially got 90 minutes with nothing to think about.”
The first quarter has also seen sports bets from Europe reach £17.4 million which is an increase of 42% over the same period last year. In sport betting represented 58% of that figure.
“I am pleased to report a solid performance for the seasonally quieter first quarter of the new financial year,” said Andrew McIver. “Group performance continues to be driven by the European sports-betting business, which has seen strong growth in all its metrics, including amounts wagered, net gaming revenue and active customer numbers.”
McIver noted that Sportingbet’s Australian business also suffered setbacks from a series of ‘poor horse racing margins through August and September which have since recovered to more normal levels.’
“The Australian business continues to benefit from deregulation with the internet business driving amounts wagered up strongly.” he further explained.
On announcement of the results, shares in Sportingbet plc, which have already more than doubled this year, increased a further 5.5p or 7.8 percent, to close at 76p on the LSE. The company now has a market value of around £368 million.