Strategic highlights
Plan to reinvigorate the business announced, with three key elements:
- Focus on regulated jurisdictions to increase sustainability of revenues
- Invest in product and brand to enhance our competitive position and drive growth
- Introduce greater accountability and become a leaner and more dynamic business; c.£20 million of savings identified to date
Exiting from investments in LMAX and Kabam
Dividend policy reviewed: medium term payout target increased to 40% of Group profit after tax, reflecting confidence in long term outlook and increased capital discipline
Financial highlights
Changed approach to reporting:
- focus is on Group numbers rather than Core
- share based payments are included in underlying financials
- applying a more conservative approach to the capitalisation of future development costs
Group revenue from continuing operations up 5% to £200.6 million, driven by a strong sports and mobile performance
Group underlying EBITDA from continuing operations down 2% to £42.3 million, as marketing investment offsets revenue growth
Group underlying earnings per share down 25% to 17.4 pence due to a higher depreciation and amortisation charge following increased capital expenditure in the prior year
Interim dividend up 25% to 4.0 pence per share
Non-cash impairment of goodwill and other intangible assets of £80.6 million
Current underlying trading is in-line with expectations: revenue up 7% in Q3 to date after adjusting for regulatory impacts in Spain, Germany and Cyprus.
