Sportingbet plc, the British online gambling group has announced financial results for its first quarter ended 31 October 2007, reporting a net loss of £1.7 million. Before charging exceptional items, fair value restatements and amortization, the company reported earnings per share of 0.8 pence, up from 0.3 pence in the same quarter a year earlier.

The operating loss for the quarter was £1.6 million, compared to an operating loss of £11.2 million in the same quarter a year ago. Before charging exceptional items, fair value restatements and amortization, the company posted an operating profit of £4.2 million, up 110 percent from £2 million in the same quarter prior year.

Net gaming revenues for the quarter declined to £30.4 million, from £32.5 million in the same quarter previous year. This was attributed to a drop in the poker take when Paradise Poker players moved over to the Boss Media network after the closing of Paradise. However, the overall situation is now improving with an average daily take in November up 17 percent on October. Online casino activities included a rise in bets placed of 12 percent, albeit at a lower average bet size of £4.60 (2006 Q1: £5.57)

Dave Hobday, the Chief Operating Officer, told media reporters that the European sportsbetting business of the group has good potential for growth. Regarding the USA, which Sportingbet vacated late last year when the UIGEA was passed, the group is still talking to the American authorities following a request for a settlement concerning the company's US activities prior to UIGEA. Hobday is upbeat about the general results and revealed that second quarter business has already started well.
In Australia customer acquisition rose by 31 percent to 15,164 but net gaming revenue still fell slightly to by £400,000 to £3.5 million as high roller telephone business cooled.
In the European sportsbetting sector, Sportingbet has seen amounts wagered rise to £170 million from £148 million with net gaming revenue rising to £15 million from £13 million, with the number of bets taken rising by 16 percent.

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