Tombola Posts Record Profit After Successful Restructuring

By | September 5, 2024

Tombola, the Sunderland-based bingo site operator, posted record profits for 2023 following a bold restructuring at the back end of the year.

The Flutter-owned gaming company posted revenue of £201.6m and a pre-tax profit of £50.7m for its latest financial year.

The results, published at Companies House, marked an improvement on its results in the year prior. Previously, Tombola’s financial year was adjusted to match that of its parent company, Flutter Entertainment, resulting in an eight-month reporting period up to the end of 2022, during which the company recorded revenues of £117.4 million and a pre-tax profit of £25 million.

Tombola posted a revenue of £162.4m and a pre-tax loss of £46.5m for its last 12-month financial period, the year to 30 April 2022.

In November 2021, Tombola was sold to Flutter, which also owns some of the biggest bingo and casino sites in the UK, such as Paddy Power, for 400 million. Flutter needed a deal to diversify the FTSE100 Group’s UK-&-Ireland product portfolio, primarily reliant on sportsbook and online casino brands.

Last year, Tombola’s management proceeded with a reorganisation as part of an ‘extensive operational review’ of the UK’s largest online bingo business. The restructure saw more than 100 new emplyees join the company in the final quarter of 2023 and it seems to have paid off.

In a statement accompanying the most recent record results, The Chairman outlined plans to increase Tombola’s market share in the UK.

“The group continues to focus on growing its market share of the bingo-led market in existing territories while looking at opportunities to enter new regulated markets.

“The strategy is underpinned by plans to continue releasing high quality in-house built products and reaching our customers through exciting promotional offerings.”

Flutter Entertainment Looks Towards Positive Results

Flutter Entertainment reported a revenue of £11.7 billion for 2023, an increase from £9.4 billion. However, its pre-tax loss widened considerably from £295 million to over £1 billion.

In August, the company increased its revenue forecasts due to strong demand from its US customer base.

Based in Dublin and listed in New York with a secondary listing in London, Flutter expects a 20 percent growth in group revenue and a 34 percent rise in adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) by the end of 2024.

This optimistic outlook follows a 20 percent increase in group revenue, reaching $3.6 billion (£2.8 billion) for the quarter ending 30 June 2024, compared to $3 billion (£2.3 billion) during the same period in 2023.

The post Tombola Posts Record Profit After Successful Restructuring appeared first on BingoDaily.

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