Australian bookmaker Tabcorp Holdings Limited has released a trading update for Q1 2024 (July 1st – Sept 30th) showing that group revenue has dropped by 6.1% year-on-year.
According to the update published today, wagering turnover also dropped by 0.9% while online turnover grew by 1% compared to the same period in Q1 2023.
Wagering and media revenue was also down by 5.4% as a direct result of lower fixed odds yields due to racing and sports results. The company noted that fixed odds yields came to 14.8% compared to 15% in Q1 2023. This was also lower than the three year average of 15.6%.
Gaming services revenue dropped by 12.7%. Tabcorp cited the removal of eBet revenue following the sale of the business in February 2023 as the primary reason for this drop. The previously announced sale of MPS is currently expected to be completed by the end of H1 2024.
Tabcorp Q1 2024 Highlights
- Group Revenue down 6.1%.
- Wagering Turnover down 0.9% and Wagering & Media Revenue down 5.4%.
- Digital Wagering Turnover up 1.0% and Digital Wagering Revenue down 3.9%.
- Gaming Services Revenue down 12.7%, due to eBet sale and lower contracted EGMs.
Tabcorp Managing Director & Chief Executive Officer, Adam Rytenskild said:
“Given the softer trading environment, I’m pleased we grew digital wagering turnover, which highlights that customers are responding to our new digital customer offering. We continue to be relentless in the way we execute our TAB25 strategy and remain focused on making the right decisions for the long-term success of the business.
As we head into the Spring Carnival and the start of the NBA season, I’m excited to have released our 13th update to the TAB App since it was launched last Spring. We’re in the midst of implementing significant change as a company and industry. Our strategy is on track as level playing field and licence reforms commence, our customer reputation grows, and cost base reduces. Our transformation continues at pace and I am confident we will deliver the value laid out in our TAB25 Strategy.”
Tabcorp Facing Fines
Earlier this week Tabcorp was fined AU$15,000 ($9,538/€9,061) for offering an inducement to gamble to people without a TAB betting account.
In September, the Victorian Gambling and Casino Control Commission (VGCCC) announced that Tabcorp faces 54 charges, 27 of which relate to minors accessing a gambling machine area and play pokies. If found guilty, the company could face a maximum fine of AU$698,997 ($451,383/€422,100).
Ciaran has been working within the Gambling Industry as a deep analyst since 2019. His deep knowledge and understanding of all the gambling regulations, and processes makes him a true asset, and an always valuable point of view for Gambling Industry News, allowing us to cover every topics from a brand new perspective.