he London-based firm recently launched a licensed South African sportsbetting operation and reported that its operating profits for the three-month term amounted to us$ 13.9 million adjusted to exclude exceptional items, share option charges and amortization. This was a considerable improvement over us$ 10.3 million it made over its second quarter last year while Sportingbet also revealed that its operating profit margin now stood at 23 %.
Net gaming revenues for the quarter grew by six percent to us$ 60.3 million from us$ 57 million while profits before tax skyrocketed 131 % to us$ 11.4 million from us$ 4.9 million.
For the first six months of its financial year, Sportingbet reported net gaming revenues of us$ 114 million, a 15 % increase over the same period a year before, while its adjusted operating profits rose 39 % to us$ 22.4 million. Profits before tax increased 500 % to us$ 18.2 million while the firm announced net cash us$ 37.7 million, which was up three percent from 2008’s us$ 36.8 million.
“Quarter two concluded a robust first half of the financial year with operating profit in the six months growing 39 % to us$ 22.4 million,” said Andrew McIver, CEO for Sportingbet.
“The group’s balance sheet remains strong with net cash of us$ 37.7 million. Demand for our market-leading sportsbetting product continues to grow. While there are some signs of the economic downturn impacting upon some areas of our operations such as Australian higher staking telephone business, our overall performance remains encouraging.
“The third quarter has started strongly and the board remains cautiously optimistic for the full-year outcome.”