William Hill hopes to recover from a poor Cheltenham 2016 which contributed to a 3 percent decline in group net revenues for its unaudited 17 week trading update through April 26.
The bookmaker has revised its 2016 expectations, but said it still expects operating profits in the £260-280 million range.
The company saw an 11 percent drop in online net revenue drop. The operator reported that both its online games—down 4 percent—and sports betting products—down 17 percent—had suffered revenue declines during 2016’s opening period.
The bookmaker announced the appointment of Crispin Nieboer as new managing director of online saying in a press release it will focus on continued product enhancements combined with more efficient/effective player marketing initiatives.
The bookmaker did see a 3 percent net revenue gain in its retail betting division. Gaming machine revenues were 4 percent up during the period and saw a substantial increase in its Australian sports betting division which had gained a 46 percent in new customers and an 8 percent increase in wagering uplift.
“It has been a tough start to the year in Online, which is being impacted by both regulatory change and a gross win margin below normalized levels for the period due to a disappointing Cheltenham festival and unfavorable European football results,” said James Henderson, CEO. “Trends in recent weeks remain in line with the guidance we gave in March.”
“In retail, it is pleasing to see gaming growth improve again and we are on track with the roll-out of our self-service betting terminal before the Euros (football championship), allowing us to bring the best of online to our shops ahead of a big summer of sport,” he said. “Australia is showing benefits of our improved offering and strengthening brand in the market, and the US continues to be strong.”
Meanwhile, William Hill players in British Columbia received a message from the bookmaker saying the company is no longer accepting bets from the Canadian province.
The message said William Hill is to cease operations in the province, citing “regulatory reasons beyond its control.”
The bookmaker said it “will be suspending the accounts of all residents of British Columbia. From May 10 you will not be able to use our online gaming products. Nevertheless, you will still be able to access your account and withdraw any outstanding balance at any time, unless we notify you otherwise in future. To do so, please visit our website.”
