Rank Group's full-year pre-tax profit slides

15th Aug 2013 07:08

European gaming business Rank Group reported a slight drop in annual pre-tax profit following the acquisition of casinos.Adjusted pre-tax profit dipped 1.0% to £65.1m in the year to June 30th 2013, after the company acquired 19 casinos and three non-trading licences from Gala Goral, making Rank the leading operator of casinos in Great Britain. The group in April also sold the assets and trademarks of its loss making Blue Square Bet business for £5.0m.Nevertheless, the firm achieved a 7.0% increase in revenue to £625m despite a "tough economic environment and the competitive market" with 6.0% growth in venues and 16% in digital."The recent hot weather has adversely impacted trading in the first weeks of the new financial year," said Chief Executive Ian Burke. "However, we remain confident in the group's long-term prospects and see good growth opportunities for our expanded casino estate and digital channels."Adjusted earnings per share remained steady at 12.4p and operating profit was little changed at £69.9m.Yet the firm increased its dividend by 14% to 4.10p.Rank said the addition of about 367,000 customers from the acquired 19 casinos will provide the group with further opportunities to strengthen and extend the reach of the Grosvenor Casinos brand.RD