Paddy Power Betfair sees progress

Chief executive Breon Corcoran said results from the Grand National, Premier League football and the US Masters golf tournament had “favored customers” and so knocked its overall gross win margins in April.

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In the three months to March 31, Paddy Power Betfair's sportsbook net revenue percentage - which is the total of the stakes placed minus the winnings returned to customers as well as bonuses - rose 1.3 percentage points to 6.7pc. This was slightly behind analysts' expectations.

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Mr Corcoran said its online exchange offered the best odds on 96pc of runners at the Cheltenham festival, something that could have weighed on profitability as the company fights against fiercer competition.

In spite of this, the business doubled its adjusted operating profits in the three months to March 31 to £91m as cost savings linked to the merger of Paddy Power and Betfair kicked in.

Sales rose 15pc to £416m on a constant currency basis thanks in part to an 18pc rise in sports betting revenue to £326m.

Mr Corcoran said a key focus for the rest of the year was putting both businesses onto the same technology platform as this would help it speed up the pace at which it is able to develop new products.

At the end of March, the company had £133m in net cash.