32Red’s chief executive, Ed Ware, announced the online gambling firm’s interim results to the end of June recently. Blaming the FIFA World Cup and the mixed trading results hovering over the gambling industry, Ware told media that 32Red had nevertheless shown a growth in revenue over the period.

“Trading in the second half to date has not recovered as quickly as anticipated from the industry-wide FIFA World Cup slowdown,” Ware admitted. However, the chief executive added “We believe the acquisition of Bet Direct in June will significantly enhance the scale and diversity of the business although a tough Goodwood and the one-off costs and expenses incurred have impacted our profitability.”

Ware pointed out that despite the lower than anticipated performance, 32Red still made a profit of 6.2 million pounds, a figure up 48 percent on the same period last year. Before tax profit for the firm’s poker and casino operations were 1.1 million.

The Gibraltar-based online gambling operator is expecting that its interim results may not be the only figures down on earlier forecasts. Mixed trading could result in market expectations for the full year not being met, due to the average value of 32Red’s casino players falling to 532 British pounds sterling each. Investors were told that this figure will receive close scrutiny in the coming months. The firm also sought to reassure investors by announcing a 60 percent increase in the number of new player signups.

32Red’s poker venues have also doubled since 2005, with the number of players more than doubling in the first half o 2006. However, the firm’s management has admitted that this previous level of growth is not expected for the remainder of the year. Various factors  including new competition from the Swedish government’s online poker site Svenska Spel, and determined winback tactics from other competitors, have adversely affected 32Red’s poker performance.

Sports betting results were also less than expected despite 32Red’s acquisition of Bet Direct in June. Royal Ascot horse racing produced a negative margin, while the gross win margin of 9.8 percent generated by the FIFA World Cup was similarly disappointing.

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