Management of the new Paddy Power Betfair entity posted financial figures this week, showing that both gambling giants entered the merger on the back of strong trading momentum. Both Paddy Power and Betfair showed increased revenue across most platforms and the chief executive of the merged company said that “our belief in the strategic rationale for the deal has only been strengthened following our early days as a combined operator.”
Numbers that came out of the Paddy Power Betfair report showed:
- Full year revenue for Paddy Power was €1.1 billion – a 24% increase year on year.
- Double digit growth was seen in Paddy Power’s online arm (23%) and retail (15%).
- Paddy Power’s operating profit climbed 10% to €180 million.
- Diluted earnings per Paddy Power share increased 12% year on year to 332.8c per share.
- Betfair’s revenue increased 21% year on year to £138 million during the 3 months to January 31st, 2016, largely due to a 51% increase in sportsbook bets and improved football results.
- Betfair reported on a 27% increase in the number of active customers.
“We are very pleased to complete the merger of Paddy Power and Betfair,” noted Corcoran, “creating one of the world’s largest online betting and gaming companies with enlarged scale, enhanced capability and distinctive complementary brands.”
Corcoran said that the combination of two industry-leading operators was “hugely exciting”, with their aligned strategies and strong cultural fit. He believed that Paddy Power Betfair was well positioned to compete in both new and existing markets.
