Brief: Casino Operator Rank Group Profit Falls As Weak Traffic Bites

Guoco

22/08/2019 07:30

Aug 22 (Reuters) - Rank Group PLC  RNK.L :
    * PRELIMINARY RESULTS FOR THE 12 MONTHS ENDED 30 JUNE 2019
    * ALL BUSINESSES DELIVERING LFL REVENUE GROWTH IN H2
    * H2 OPERATING PROFIT OF £42.2M, UP 20%
    * AGREED TERMS TO SELL FIVE MECCA BINGO CLUBS TO A UK BINGO
OPERATOR
    * ENCOURAGING START TO 2019/20
    * EXPECT THE ACQUISITION OF STRIDE TO COMPLETE EARLY IN Q2
2019/20
    * SAYS "OPTIMISTIC ABOUT 2019/20 OUTTURN"
    * RECOMMENDS A FINAL DIVIDEND OF 5.5 PENCE PER SHARE
    * FY GROUP LIKE-FOR-LIKE REVENUE £729.5M VERSUS £731.3M
    * FY STATUTORY GROUP OPERATING PROFIT £39.0M VERSUS £50.1M
    * FY OPERATING PROFIT BEFORE EXCEPTIONAL ITEMS £72.5M VERSUS
£77.0M
    * TRANSFORMATION PROGRAMME, LAUNCHED IN 2018, IS STARTING TO
DRIVE
PERFORMANCE IMPROVEMENTS IN BOTH UK, INTERNATIONAL VENUES
BUSINESSES
    * FY DIGITAL LIKE-FOR-LIKE NET GAMING REVENUE £105.5M VERSUS
£95.3M
    * RANK GROUP SAYS "THE GROUP IS AS PREPARED AS IT CAN BE FOR
A NO
DEAL BREXIT"
    * RISKS OF NO DEAL BREXIT CENTRE ON COLLEAGUES IN UK VENUES
WHO
ARE EU NATIONALS AND WHO HAVE NOT APPLIED FOR, OR RECEIVED,
SETTLED STATUS
    * RISKS OF NO DEAL BREXIT INCLUDE THE TIMELY SUPPLY OF FOOD
AND
BEVERAGE PRODUCTS TO CO'S UK VENUES
    * RISKS OF NO DEAL BREXIT INCLUDE CHALLENGES WHICH COULD
ARISE FOR
COMMUTERS AT SPAIN/GIBRALTAR BORDER
    * RISKS INCLUDE GENERAL ECONOMIC SHOCK OF A NO DEAL BREXIT
AND ITS
IMPACT ON CONSUMER CONFIDENCE AND EXPENDITURE
    * MITIGATIONS HAVE BEEN PREPARED FOR EACH OF THE BREXIT
RISKS TO
REDUCE POTENTIAL IMPACT


Further company coverage:  RNK.L 

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