SBC News Voice of the Sports Betting Industry
Having issued an unaudited 2015 trading statement this morning, William Hill governance is positive that the company is well placed for a strong 2016, following a year of re-adjustments to new market conditions and tax headwinds imposed on UK betting operators.
Despite recording a 22% drop in its group operating profits to £290 million (FY 2014: £371 million), William Hill governance noted that 2015 performance was in-line with corporate expectations, as the operator further detailed that it had been impacted by £87 million in UK gambling duties.
Governance noted that the operator had recorded a strong closing quarter performance for 2015 against a tough comparative period, reporting Net revenues from online core markets (UK, Spain & Italy) up 14% to circa £116 million.
The operator is further pleased to announce that it will support its existing digital operations with the launch of its new ‘in-house’ developed betting platform ‘Trafalgar’, continuing William Hill’s firm focus on industry innovation.
Detailing further positive indicators for 2016, governance noted its improved player and wagering activity for Q4 William Hill Australia, a division which it seeks to turn into a core market in the coming months.
William Hill will look to reverse its Retail decline which had recorded a FY 2% revenue decline to £889 million (2014: £911 million). The operator detailed that it was preparing to roll-out its prototype self-service terminals in H1 2016.
Commenting on 2015 performance James Henderson, CEO:
“I am pleased that we have delivered results in line with the market’s operating profit expectations for 2015. Online has seen some disruption around the implementation of Project Trafalgar but we are rapidly addressing that. I am optimistic the advantages that Trafalgar gives us will drive growth, particularly as we gain flexibility and increase our ability to differentiate. Retail has delivered another resilient performance, our US business continues to grow strongly and I am encouraged by the performance of the William Hill brand as the growth engine of the Australian business.
“Technology remains a key pillar of our strategy and the leadership changes announced today are about building a team who will deliver product innovations and continue to ensure technology is a major competitive advantage for William Hill. This will allow us to further build on our brand and scale, and be best placed to compete. I would like to thank Andy for his contribution in recent years and to wish him well for the future.
“Looking forward, 2016 is an exciting year for us. With EURO2016 ahead, we will capitalise on the investments we have made on Trafalgar, the SSBTs and the William Hill brand in Australia to bring customers a differentiated and more personalised William Hill experience.”
William Hill governance expects to announce its final 2015 results on 26 February
