Presenting its latest trading update (unaudited 17-week period to 24 October), FTSE-listed bookmaker William Hill Plc details that its corporate performance is ‘in-line with expectations’, as the company seeks to deliver £40 million in annualised cost efficiencies for group reinvestment.
Updating the market, William Hill continues its digital recovery, recording a 13% increase in online wagering, combined with 6% net revenue rise. William Hill governance was pleased with its digital division’s performance against a tough comparative period featuring the closing stages of UEFA Euro 2016.
Digital growth was supported by 3% net revenue uplift recorded by William Hill’s UK retail division, which benefited from a strong +17.6% gross win margin during the trading period.
The bookmaker’s solid home market performance was further supported by a double-digit net revenue gain recorded by William Hill USA. However, William Hill’s Australia division a 2% net revenue decline during the period.
“We have delivered good financial and operational progress so far in the second half. Our Online business has performed particularly well, with UK wagering 14% ahead of last year, in spite of the absence of a major football tournament, and an acceleration in gaming growth. Retail has benefited from a stronger gross win margin to deliver both Sportsbook and gaming net revenue growth. Internationally, our US business continues to deliver strong double-digit net revenue growth and Australia’s gross win margin has normalised relative to H1.” Detailed William Hill CEO Philip Bowcock.
In the trading update, Bowcock and William Hill governance continue to emphasise the bookmaker’s ‘three medium-term strategic priorities’ of; growing group UK market share, expanding William Hill’s international footprint and delivering on group technology transformation.
“We continue to make good progress on our transformation programme, which is on track to deliver £40m of annualised savings by the end of this year. This is supporting reinvestment in our business, including marketing increases in this second half to promote Online’s reinvigorated product and customer experience.”
“Overall, I am encouraged by the huge amount of progress the William Hill team has made this year in improving our customer proposition and delivering on our strategy. We remain on track to deliver on market expectations for 2017.”