These past few months have seen several monumental developments in the Australian gambling market. With all of the mergers currently taking place, internationally renowned Irish bookmaker, Paddy Power has seized the opportunity to inject more capital in their operations in the country.
Paddy Power Not Distracted by a Consolidation Effort
As previously stated, there is currently a lot of movement going on in the Australian gambling market. The end of November 2017 saw an AU$11 million merger take place between Tabcorp and Tatts. Then, in March of this year, William Hill’s Australian assets were purchased by CrownBet. As Paddy Power is currently not involved in any such consolidation effort, the group believes that there is an opportunity to spend an extra AU$18 million, marketing their Sportsbet brand in the near future.
Paddy Power Chief Executive, Peter Jackson stated that the group now see a chance to approach the market more “aggressively” with competitors currently distracted.
Paddy Power Also Announces Other First Quarter Updates
Along with announcing a plan to increase investment in Australia, Paddy Power also provided an update on the group’s performance in the country for the first quarter of 2018. It was revealed that although core figures suggest the company’s revenue did drop 2% when compared to 2017’s first quarter, revenues actually increased 6% when currency fluctuations were factored in.
It will be interesting to see how all Australian betting organisations (including Paddy Power) are affected by the new state wagering taxes. Currently, South Australia is the only state that has introduced the tax, with Western Australia and Queensland set to do so in the following year.
Whether or not Paddy Power’s capital injection into their Australian gambling operations has an effect on their profitability remains to be seen. For more updates on the latest Australian gambling news, keep visiting Pokies.com.