A golden year for punters didn’t stop Paddy Power posting record profits today — and the bookmaker has been getting its own back on gamblers in recent weeks.
Paddy managed a 5% rise in pre-tax profits to €141 million (£116 million) for 2013 and would have done even better had it not been for a series of punter-friendly results including Andy Murray’s Wimbledon win and Phil Mickleson’s British Open triumph. The bookie also suffered at Cheltenham Festival.
An “unpredecented” January for bookmakers as football favourites won also made a great start to the new year for punters landing accumulator bets, but they’ve given it back since as Manchester City’s league form dipped and title rivals Arsenal dropped points, most recently at Stoke. “Typically you get recycling after there’s a run of wins for the punters so turnover tends to rise and as markets normalise you get some of it back. Over time it evens out,” said chief financial officer Cormac McCarthy.
Paddy Power is aiming for a good rise “for the foreseeable future” in mobile gambling, which is expected to account for 90% of industry growth in the years ahead. The bookie now has 1.9 million online customers, generating €473 million in revenues, within which mobile revenues jumped 73% to €221 million. Including its betting shops, Paddy’s revenues rose 17% to €745 million last year.
