Sports betting company Paddy Power reports profit

The Irish sports betting company Paddy Power Plc. (LON:PAP) reported a 52% surge in full-year profits Monday because of growing business online and a string of losses at the local betting shops. A statement by the sports betting firm read that net income rose to 62.8 million euros ($96 million), or 1.25 euros a share, from 41.2 million euros, or 81 cents, in 2006, while the amount lost by gamblers gained 28% to 279 million euros. Gross winnings rose 21% to 126.1 million euros at the bookmaker's Irish betting shops and winnings from online wagers climbed 38% to 54.1 million euros, while the amount of money lost by bettors on telephone wagers gained 10% to 27 million euros.

According to Paddy Power, the betting firm plans a vast expansion into the U.K., along with adding betting shops in London, Manchester and Glasgow. But with the online betting leading the way, the Irish bookmaker has already added German- and Spanish-language online sports betting to its portfolio. The company also said that the biggest win for the sportsbook (loss for punters) came from the Grand National in April, which was won by Silver Birch with 33/1 odds, and the final of the FA Cup in May, when the game went into extra time before Chelsea beat Manchester United.

Published on 03/03/2008