Ladbrokes and Coral owner GVC enjoys a boost in World Cup sales after the suffering of the Beast from the East
- Turnover at GVC Holdings increased by 8% in the six months to 30 June
- GVC acquired Ladbrokes Coral in March and is expanding in the US.
Jane Denton for Thisismoney
The World Cup tournament helped gambling giant GVC Holdings to enjoy an 8 per cent increase in sales in the six months to 30 June.
The group, which owns Ladbrokes Coral, saw its operating profit increase 17 percent in the period to £ 278 million.
Profit before tax was £ 113.6 million at the end of June, compared to a loss of £ 22.8 million a year earlier.
Sales boost: the World Cup football tournament helped gambling giant GVC Holdings to benefit from a 8 per cent increase in sales in the six months to 30 June
Kenneth Alexander, GVC's boss, said the company had set more cost savings in connection with the Ladbrokes deal.
He said: "Strong momentum in online and European retail has continued, and a positive World Cup helped improve trends in UK retail in the second quarter.
"We have now identified capex synergies of at least £ 30 million in addition to the £ 130 million cost synergies and we are well placed to deliver those savings while boosting revenue growth. & # 39;
The GVC shares fell 0.05 percent or 0.5p to 1.061.5p.
The & # 39; like-for-like & # 39; retail sales in the UK fell by 3 percent during the period, with the & # 39;bad weather & # 39; earlier in the year.
Twelve percent of the horse races were canceled because of the Beast from the East.
GVC also used the latest results to repeat that a government that would lower the maximum wager for fixed-odds betting terminals to £ 2 could close about 1,000 Ladbrokes Coral stores.
We are waiting for a government decision on an implementation date, but we expect the new legislation to be complete by the end of the calendar year, & # 39; said the group.
Bookmakers across the board expect to take a hit from the £ 2 limit and many are trying to expand further in the US, where the gambling market has recently been liberalized.
In July, GVC confirmed its bundle of £ 153 million with the world's largest casino operator, MGM Resorts.
GVC is the largest bookmaker in the UK after buying Ladbrokes Coral in March to add to brands like Sportingbet, PartyCasino and FoxyBingo.
Most important deal: GVC is the largest bookmaker in the UK after buying Ladbrokes Coral in March