Ireland’s largest bookmaker Paddy Power has seen online profits of overtake those from its retail operations for the first time in its half yearly results.
The online sector represented only 25% of the firm’s total gross win, but accounted for 46% of its operating profit for the six months ended June 2005.
Online gross win rose by 57% over the same period last year to Euro20.3m, but the firm saw profits jump by 123% to US$10.1m.
The firm’s retail division in comparison posted a half yearly operating profit of Euro6.6m from a gross win of US$62.2m.
Online turnover increased by 62.5% to US$219.6m from US$135.1m, which the firm described as an "outstanding performance".
This was in part due to a much stronger contribution from its casino and poker offering, and the firm talked of strong growth in poker throughout the summer.
Ross Ivers, Paddy Power’s finance director said the firm was reaping the benefits of its investment in the online business.
“Our online channel [is] now generating record earnings and set for continued expansion,” Ivers said.
Turnover from gaming activities totalled US$26.8m an increase of 588.7%, while sportsbook turnover rose 46.9% to US$192.8m.
The firm said it now had 73,999.active online customers.
source : egr magazine
