Tatts boosted by lotteries in first half
Tatts Group has cited the impact of a record performance by its lotteries arm as one of the main reasons behind year-on-year financial growth in the first half of the 2016 financial year.
Revenue and other income in the six-month period amounted to Aus$1.6 billion (€1 billion/$1.1 billion), an increase of 6.5% on the Aus$1.5 billion posted in the first half of the previous year.
Earnings before interest, tax, depreciation and amortisation (EBITDA) increased by 0.2% to Aus$276.6 million, while earnings before interest and tax was also up 1.1% to Aus$233.6 million.
Tatts highlighted the success of its lotteries business in particular, with revenue from the division amounting to Aus$1.1 billion, representing an increase of 9.6% on the Aus$1 billion achieved in the corresponding period last year.
EBITDA derived from lotteries also jumped 10.3% year-on-year from Aus$161.1 million, with a margin of 15.9%, to Aus$177.6 million, with a margin of 16%.
Robbie Cooke, chief executive and managing director of Tatts, said: “A huge effort has been made by the talented team here at Tatts over the last few years, focusing on improving our customers’ digital journey, being more effective in our online marketing actions and communicating with our online audience in a most timely and relevant way.
“The momentum we are gaining from these digital initiatives in both our lotteries and wagering operations is truly exciting. The star performer in the half was our lotteries operation – it delivered record-breaking performances at all levels.
“Revenues were at an all time high at $1.11 billion, up 9.6% on the same period last year. The result was fuelled by an exceptional jackpot run in the six months with 24 jackpots hitting the influential $15 million or more mark.”
Related article: Tabcorp and Tatts fail to agree on merger deal