The governance of FTSE100 Paddy Power Betfair (PPB) is confident of delivering on its full-year corporate expectations, following a robust Q3 2018 trading period, in which the company has made significant progress on its US agenda.
Publishing its Q3 2018 (period ending 30 September) trading update, PPB records a 12% increase in group revenues to £483 million, with PPB governance underlining digital growth generated through product enhancements and optimized marketing campaigns.
“Q3 was a good quarter for the Group,” explained Peter Jackson, Paddy Power Betfair Group CEO. “In Europe, the encouraging momentum that we saw in Q2 accelerated further, with online revenue up 15%. This momentum, which was evident in both Paddy Power and Betfair, is driven by enhancements in product and good execution in promotions and marketing.”
The FTSE betting group, details that it was able to maintain its strong post World Cup Russia 2018 customer activity, with strong take-up of market enhancements such as ‘Same-game-multis’ and ‘Power-up personalized price boosts’ running alongside promotional products such as ‘Beat the Drop’.
Closing a busy Q3 2018 trading period, PPB declares a flat EBITDA of £104 million, with the betting group having to undertake several costs adjustments to complete its US strategic joint-venture with FanDuel.
Completed this July 2018, PPB governance details strong initial core metrics and KPIs for its new FanDuel US property – FanDuel DFS + Betfair TVG.
“In the US, the exciting potential of the sports betting opportunity and the strength of our strategic positioning has been evidenced by our experience to date in New Jersey,” said Jackson. “FanDuel recorded a 30% share of the sports betting market in September, driven by a market-leading customer proposition, our strong brand presence and the ability to cross-sell from our fantasy sports player base.”
Moving forward PPB governance is confident of the firm’s global future prospects, operating within Australia, the US and new European markets, as the FTSE enterprise faces increased challenges in its home markets of the UK and Ireland – with incoming increased betting/gambling duties, compliance costs and tougher regulatory outlook.
Jackson added: “Overall, we are pleased with the substantial progress we continue to make against our strategic priorities. Our continued investment in brands and customer proposition means that all our businesses will exit the year with enhanced competitive positioning.
“Together with our scale and strong balance sheet this means we are better positioned to face the significant regulatory and fiscal headwinds that apply next year and to capitalise on the long-term industry growth opportunity.”