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William Hill optimistic despite fall in operating profits
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William Hill optimistic despite fall in operating profits

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James Henderson

James Henderson: “results in line with the market’s expectations”

  PICTURE: William Hill  

 By Andrew Dietz 7:38AM 14 JAN 2016 

WILLIAM HILL believe they are well placed for a strong year despite ending 2015 with a 22 per cent drop in operating profit.

The figure fell to £290 million from a record £371m the previous year but chief executive James Henderson described the results as “in line with the market’s operating profit expectations”.

Full-year net revenue was reported to be down one per cent and fourth-quarter results included a 14 per cent rise to £116m in net revenue from online core markets.

However, the firm revealed online managing director Andrew Lee would be leaving the company in another high-profile exit following the departures of finance director Neil Cooper and the chief marketing officer Kristof Fahy.

The firm produced a strong end to the year in Australia with growth in accounts and amounts wagered and are set to enhance their online portfolio with the launch of the industry’s first Macau-branded live casino in November.

Online disruption

Online performance was affected by problems with the launch of a new mobile web and iOS app.

“Online has seen some disruption around the implementation of Project Trafalgar but we are rapidly addressing that,” said Henderson.

“I’m optimistic the advantages that Trafalgar gives us will drive growth, particularly as we gain flexibility and increase our ability to differentiate.

“Retail has delivered another resilient performance, our US business continues to grow strongly and I’m encouraged by the performance of the William Hill brand as the growth engine of the Australian business.”

New arrivals

With Lee exiting, Crispin Nieboer has been appointed appointed interim managing director of online and Kevin O’Connor is joining as group chief information officer.

Henderson added: “Technology remains a key pillar of our strategy and the leadership changes announced today are about building a team who will deliver product innovations and continue to ensure technology is a major competitive advantage for William Hill.

“This will allow us to further build on our brand and scale, and be best placed to compete. I would like to thank Andy for his contribution in recent years and to wish him well for the future.

“Looking forward, 2016 is an exciting year for us. With Euro 2016 ahead, we will capitalise on the investments we have made on Trafalgar, the SSBTs and the William Hill brand in Australia to bring customers a differentiated and more personalised William Hill experience.”

The group said they will publish their final results for 2015 on February 26.

William Hill’s shares price had fallen 9.70p to 359.70p on 8am on Thursday monring.

 

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