Paddy Power management expects its Italian focused operations to break even this year, despite suffering loses of €16.8 million (£13.8 million) in 2013. The betting has operated its Italian betting and igaming services since 2012, the operator is yet to post profits for its operations in the region. In 2012 the operator posted loses of €14.7 million (£11.56 million)
Paddy Power management are pleased with the progress undertaken by the operator in the region, claiming operational loses for the region were expected in order for the operator to gain market share. Reports by Paddy Power state that the operator currently controls around 10% of the country’s online sports betting market. Furthermore Paddy Power recently launched Italian online casino, has acquired 3% of the regions market share.
Paddy Power stated that key drivers for high costs and market expenditure had been created by the operators need to implement optimum operational services for Italian customers and high marketing costs on new player acquisitions for its brands.
The operators Chief Financial Officer, Cormac McCarthy commented that the Italian business should exit 2014 breaking even. CEO Patrick Kennedy added that the company is focused on building “a multi-decade business” in Italy and that the division is progressing on track. He added that the company will continue to look for entry opportunities in exciting new markets.