Rank Group posts £174.4m in Q3 NGR as digital and retail channels continue uptick
FTSE 250 firm reports a 16% increase in digital net gaming revenue, with Grosvenor and Mecca brands driving business
Rank Group has posted a 13% year-on-year (YoY) rise in like-for-like net gaming revenue (NGR) to £174.4m, in the three months to 31 March.
Digital NGR grew by 16% YoY to £52.5m, with strong growth in the UK business culminating in a 15% YoY increase. The firm’s digital Spanish business also saw impressive growth of 19%.
In the UK, both the Grosvenor and Mecca online brands performed well in the quarter, with NGR up 23% and 15%, respectively.
The FTSE firm’s other UK digital brands returned 7% YoY growth in the quarter.
Rank’s venues also saw growth in Q3 2023. Grosvenor venues posted NGR of £77.9m in Q3, representing a 15% increase.
NGR from Mecca venues jumped 9% to £34.8m, while Enracha venues returned an 8% rise in NGR to £9.2m.
Following the release of the results, Rank updated its guidance for like-for-like operating profit for the full-year to June 30 2023.
The group said it was expecting operating profit to land at the “upper end or slightly ahead” of the previously guided range of between £10m and £20m.
John O’Reilly, CEO of The Rank Group, said: “We are pleased that the momentum we saw at the start of the second half of our financial year has continued with positive NGR growth across all our businesses.
“Despite the challenging macroeconomic environment, the investments we have been making to improve the customer experience in our venues have helped drive the improved performance across both Grosvenor and Mecca.
“The digital business is benefitting from the build-out of enhancements to the customer experience on our proprietary technology, and we have a strong pipeline of developments to continue to grow market share into the future,” O’Reilly concluded.
After the publication of the results, Rank has seen its share price increase by 6.3% in early trading today to 75.70p.