FTSE-listed Paddy Power Betfair Plc (PPB) is the latest industry operator to fall foul of punter-friendly results recorded during Q4 2016.
Issuing a trading update ahead of its full-year 2016 results on 7 March, PPB governance detailed that an unkind Q4 2016 closing had cost its operations revenue losses of £40 million on European football results and a further £5 million on Donald Trump’s US Election victory
Despite the ‘adverse results’ impacting Betfair’s 2016 earnings performance, PPB governance would detail to investors that its FY 2016 EBITDA guidance would fall around the mid-point range of £390-405 million, notwithstanding worse than expected gross win margins in November and December.
Seeking to close its first full year as a FTSE-100 enterprise, PPB governance highlighted the firm’s strengthened revenue performance, which has seen an 18% group uplift to £1.55 billion.
Paddy Power Betfair trading statement overview
Company growth has been further supported by strong growth in its Australian betting division led by its Sportsbet brand which displayed a revenue growth of 18 % and a 25% rise in wagering.
Looking forward to its 7 March results presentation, PPB investors will be seeking for further updates on the enlarged firm’s integration of assets and operations, as PPB looks to meet post-merger corporate targets.