Rank like-for-like revenue slips, confident for year ahead

15th May 2014 08:45

- Battling against competitive trading environment - Improved Grosvenor Casinos venues performance- Confident of meeting full-year guidanceBritish gaming conglomerate Rank said a challenging and highly competitive trading environment weighed on like-for-like (LFL) revenues for the 19 weeks to May 11th but it remains confident of meeting full-year targets.The bingo halls and casinos operator posted a 1% decline in LFL revenues but total revenue for the 19-week period jumped 19%. Among its main brands, Grosvenor Casinos revenue improved 2% whilst total revenues grew by 45%. LFL for the Mecca brand fell by 4% in the 19-week period, and revenues fell 3%. Enracha's euro revenue for the 19 weeks climbed 1% but in Sterling, revenue fell by 3%. Following Chancellor George Osborne's announcement in March that taxes on bingo halls are to be halved, from 20% to 10%, Rank announced plans for three new clubs. The group said the tax cut "created a basis for renewed investment and innovation."Looking ahead, Rank said: "Following the successful implementation of both revenue and operating profit improvement actions, as outlined at the group's first half statement, the board anticipates operating profit for the full-year to 30 June 2014 to be line with management's expectations." Earlier this month, Henry Birch replaced Ian Burke as Chief Executive. Burke, previously both Chief Executive and Executive Chairman, is now non-executive Chairman.CJ