Australian bookmaker Tabcorp Holdings Limited has released its Full Year Results for FY 2024 ending on June 30th, reporting group revenues of AU$2.3 billion ($1.5 billion/€1.4 billion), down by 3.9% on the previous year.
The group also reported a statutory net loss after tax of AU$1.3 billion ($833.1 million/€792.5 million) citing “soft wagering market conditions and the sale of the MPS business.” as reasons for the both the decline in revenues and the net loss.
Tabcorp FY 2024 Highlights
- Group Revenue – AU$2.3 billion ($1.5 billion/€1.4 billion), down 3.9% on FY23
- Group EBITDA – AU$317.7 million ($215.8 million/€193.6 million), down 18.7%
- Group EBIT – AU$97.4 million ($66.1 million/€59.3 million), down 35.3%
- Net Loss After Tax – AU$1.3 billion ($833.1 million/€792.5 million)
- Wagering and Media Revenue – AU$2.1 billion ($1.4 billion/€1.2 billion), down 3% on FY23
- Wagering and Media EBITDA – AU$251.2 million ($170.6 million/€153.1 million), down 18.4%
- Gaming Revenue – AU$176.1 million ($119.6 million/€107.6 million), down 13.5% on FY23
- Gaming EBITDA – AU$66.5 million ($45.1 million/€40.5 million), down 20%
Tabcorp Managing Director & Chief Executive Officer-Elect Gillon McLachlan:
“Tabcorp has a unique asset base which can ultimately create a complete sports entertainment experience for our customers and unlock value for shareholders. The challenge of connecting those assets to continue executing on the opportunities they present is what I find appealing about the opportunity for the Company going forward.
The Company has done a good job at building solid foundations since demerger and there is no doubt TAB is competing better in the market. The product is better, speed to market has improved, the retail offering is being revitalised and we’re achieving structural reforms that will make the company more competitive.”
On 25 projections he added:
“It is clear the business will not meet its TAB25 targets. It is my job to unlock an enhanced cadence with a focus on people and capability. As we evolve, we’ll be better placed to continue executing on the growth opportunities. Today’s results demonstrate a competitive performance in the soft market conditions we face. It shows customers are responding to the improved product offering and there’s no doubt the
business is more competitive today than it was at demerger, but it’s not where it ultimately needs to be.It will require change but the goal remains unchanged. The building blocks are there to create the complete sports entertainment business. To achieve this, there will be a new cadence at Tabcorp which will ultimately unlock significant value for shareholders.”
Tabcorp Record Fine in Victoria
Earlier this month, the Victoria Gambling and Casino Control Commission (VGCCC) fined Tabcorp a record AU$4.6 million ($3.1 million/€2.8 million) for repeated breaches of its licensing conditions. This included marketing to individuals who had opted out of receiving promotional material and failing to provide support for customers who were displaying the signs of problem gambling.
Olivia has worked as an editor and writer for major brands across multiple niches. She now focuses on the iGaming and sports betting industries.
Tabcorp, one of Australia’s leading gambling and entertainment companies, has reported a 3.9% decrease in revenue for the fiscal year 2024. This news comes as a surprise to many industry analysts, as Tabcorp has been a dominant player in the Australian gambling market for many years.
The decrease in revenue can be attributed to a number of factors, including increased competition from online gambling operators and a decline in consumer spending due to the economic impact of the COVID-19 pandemic. Additionally, regulatory changes in certain markets have also had an impact on Tabcorp’s bottom line.
Despite the decrease in revenue, Tabcorp remains optimistic about its future prospects. The company has been investing heavily in digital technology and innovation in order to stay competitive in the rapidly evolving gambling industry. In addition, Tabcorp has been focusing on expanding its presence in international markets in order to diversify its revenue streams.
In a statement released by Tabcorp, CEO David Attenborough acknowledged the challenges facing the company but expressed confidence in its ability to weather the storm. “While we are disappointed by the decrease in revenue, we remain committed to delivering long-term value for our shareholders and customers,” Attenborough said.
Overall, while the decrease in revenue is certainly a setback for Tabcorp, the company’s strategic investments and focus on innovation suggest that it is well-positioned to bounce back in the coming years. Investors and industry observers will be closely watching to see how Tabcorp responds to these challenges and whether it can regain its position as a leader in the Australian gambling market.
