Overall revenues were helped by the World Cup, which chief executive
"In the first half of 2014, we successfully delivered all the planned operational improvements in time for the World Cup," said Glynn.
"We have made substantial progress and while there is more to do there is also much to play for. We now have the products, the platforms, the people and the brand in place to deliver.
WHAT DID YOU MAKE OF LADBROKES' PERFORMANCE DURING THE FIRST HALF OF 2014? By Oliver Smith ANALYST VIEWS NICK BATRAM PATRICK COFFEY DAVID JENNINGS BARCLAYS PEEL HUNT DAVY While the Digital performance is likely to excite the bulls, we believe these results throw up many questions which are central to the debate. Marketing as a percentage of revenue was 31 per cent in the first half. A key debate is how this marketing spend progresses and how much reinvestment is needed to compete.
With a regulatory storm (point of consumption tax, betting terminals duty) and a general election on the horizon, the risk of further disappointment is high. We expect some recovery short-term on relief that the firm has delivered an in-line set of numbers. However, the risk of further disappointment remains significant.
Our primary concerns remain the real possibility that consensus forecasts are materially too high in both 2014 and 2015, and the likelihood that there will have to be a material cut to the dividend in 2015 as a result. We also think that the market is under-estimating the potential impact of machine legislation for 2015.
LADBROKES TROUBLED WEBSITE TIMELINE ? In
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