Rank Group reports 9% revenue growth in first quarter driven by digital gains

The Rank Group has reported a 9% increase in net gaming revenue (NGR) for the first quarter of its 2025–26 financial year, supported by strong digital performance and steady growth across its land-based operations.

For the three months ending 30 September, Rank’s NGR rose to £210.2 million ($280.9 million), up from £197.5 million ($264.42 million) a year earlier. The group said growth was recorded across all four of its core divisions, with digital operations again delivering the sharpest increase.

Digital revenue climbed 13% year-on-year to £61.6 million ($82.47 million), driven by a 31% rise in Grosvenor’s online business and a 9% gain from Mecca’s digital platform. The company’s Spanish arm, Enracha, saw a temporary 1% decline in digital revenue, which Rank attributed to platform capacity issues that it expects to resolve in the second quarter through the launch of a new bingo platform.

Land-based operations continued to anchor the business, with the Grosvenor venues segment generating £102.7 million ($137.50 million), an 8% increase over the same period last year. Rank said the rise reflected a 5% uptick in customer visits and a 3% increase in average spend per visit. Performance outside London was particularly strong, up 10%, while the capital saw a 4% improvement, helped by the reopening of the refurbished Victoria Casino in July.

Within the Grosvenor portfolio, electronic table gaming revenue rose 11%, table games were up 3%, and gaming machine income increased 12%, a result of the rollout of new B1 gaming machines following regulatory changes introduced in August. These reforms allow casinos to install additional gaming machines and offer in-house sports betting, which Rank has said it plans to introduce across selected venues.

The Mecca venues division reported 5% revenue growth to £35.5 million ($47.53 million), despite a slight 1% fall in visits, as average customer spending rose 6%. Enracha venues in Spain also delivered a 5% increase in revenue.

Chief Executive John O’Reilly said the group’s performance during the first quarter kept it on track to meet full-year expectations despite rising operational costs.

“We have started the year strongly,” O’Reilly said. “We’re confident of delivering group like-for-like operating profit in line with expectations, notwithstanding the significant cost increases we have incurred in employer national insurance contributions, the national living wage, and the new statutory levy.”

O’Reilly noted that Rank has already installed 471 new gaming machines across 18 casinos, with the total expected to reach 850 by the end of the first half of the financial year.

The chief executive also addressed ongoing uncertainty around potential changes to the UK gambling tax regime, expected to be clarified in the November budget. Industry speculation suggests a possible move toward a single rate for all remote gambling activities.

“Speculation regarding tax changes in the upcoming budget is, inevitably, hanging over the business,” O’Reilly said. “We are engaged with the Treasury on the implications of tax changes on the viability of our venues, employment levels, future investment and the customer.”

He added that the company already makes a substantial tax contribution relative to its size and domestic footprint. “Last year the group generated £44.6 million ($59.71 million) in profit after tax, having paid HMRC and local authorities £188.0 million ($251.70 million) in taxes. Rank Group, with its strong UK focus, is certainly paying its fair share.”

Rank’s latest results follow a solid 2024–25 financial year, when revenue grew 11% to £795.3 million ($1,064.76 million), buoyed by the easing of UK casino restrictions and reforms that expanded machine allowances and enabled sports betting in physical venues. The company said these regulatory changes, combined with continued investment in its digital and retail channels, would support its medium-term growth plans.

Rank will host a Capital Markets Event on 22 October 2025 at its Victoria Casino in London, ahead of releasing interim results on 29 January 2026.