Sportech optimistic despite US wagering decline

Ian Penrose CEO Sportech

Betting pools and horseracing operator Sportech said its profits should fall within corporate forecasts following its trading update for the period from 22 August to 10 November 2014.

The operator has been hit a 2% fall in bet wagering generated from its US racing operations, Sportech commented that the decline had been caused by changes made to the racing calendar.

Sportech management remain confident in corporate performance for 2014, stating that its operations have benefitted from reduced interest charges in the second half of 2014.

The operator has recorded football pool trading in-line with its expectations, and stated that it managed to attract 20,000 new customers to its pools product, which will improve product revenues going forward. The operator was further encouraged by it digital activity which now accounted for more than two thirds of betting pool recruitment

The operator stated that it would look to reverse its declining sales in the US by seeking potential partnership and furthering investment in the region. Sportech Plc has submitted a tender to the Californian Horseracing Industry (CHI ) for a five-year contract extension to continue to process wagering in Californian licensed racetracks and betting premises.

A company statement read  “Strategically the group continues to make good progress in its three divisions, and we are continuing to invest in ensuring that we have the products and people in place to enable us to take advantage of these opportunities. As a result, the board remain confident for the future

Check Also

Sportech tempts investors with a £35m share buyout tender

Sportech Plc has revealed its intentions to launch a tender offer, which has proposed an …

Sportech strengthens cash reserves to drive business transformation

Sportech Plc has delivered better than anticipated 2020 financial performance, offsetting the COVID-19 headwinds severely …

Sportech maximises cash position ahead of BetMakers takeover  

The board of Sportech Plc has stated confidence that the LSE firm will deliver its …