Rank tanks in Spain yet sees firm UK growth
BRITISH gaming group Rank has reported a steady increase in profits, boosted by its flagship casino business, despite faring badly in Spain.
The group generated revenues of £295.9m in the second half of 2011, up three per cent, of which £125.8m came from Grosvenor Casinos and £117.4m from Mecca Bingo.
Grosvenor profits jumped 11 per cent to £20.4m while Mecca Bingo pocketed £14.8m, up eight per cent.
However, revenues from Rank España tanked 87 per cent to £0.5m.
Rank is receiving almost five per cent more customers through its British doors, although the average consumer spent less per visit. But the firm saw the largest growth in its online division, where revenues were up almost 25 per cent to £37.8m.
Rank chief executive Ian Burke told City A.M.: “Mecca is number one in the internet bingo market, and we’re starting to get our act together in online casinos too.
“We’re developing products which work across all digital channels, and mobile is a particularly strong area of growth.”
He declined to elaborate on last week’s announcement that Rank are in discussions to buy Gala casinos.
Shares fell three per cent to 138p.