Corporate By William Hill IR

2013 Interim Results

Significant strategic progress and continued momentum as Online delivers double-digit operating profit growth

William Hill PLC (LSE: WMH) (William Hill or the Group) announces its interim results for the 26 weeks ended 2 July 2013 (H1 2013 or the period). The comparator period is the 26 weeks ended 26 June 2012 (H1 2012).


26 weeks ended 
2 Jul 2013 (£m)

26 weeks ended 
26 Jun 2012 (£m)

Change vs H1 2012 

Net revenue1




- Retail net revenue1




- Online net revenue




Operating profit2




Pre-exceptional profit before tax




Profit before tax




Profit after tax




Earnings per share - basic, adjusted3,4




Earnings per share - basic3




Dividend per share3





(1) Group and Retail net revenue performance numbers are flattered by the transition from VAT and Amusement Machine Licence Duty to Machine Games Duty (MGD) on 1 February 2013. Underlying numbers are provided in the narrative.
(2) Operating profit is defined as pre-exceptional profit before interest and tax, before the amortisation of specifically identified intangible assets recognised on acquisitions, amounting to £5.4m in 2013 (2012: £1.8m).
(3) Basic EPS and dividend per share are based on an average of 836.7 million shares for 2013 and an average of 756.0 million shares for 2012, including an adjustment to reflect the impact of the rights issue completed on 5 April 2013.
(4) Adjusted EPS is stated before exceptional items and amortisation of specifically identified intangible assets recognised on acquisitions.

Significant strategic progress:

  • William Hill Australia established with £459m acquisition of Sportingbet’s Australian business, completed on 19 March 2013
  • Gained full control of rapidly growing Online business through £424m acquisition of 29% outstanding stake, completed on 15 April 2013
  • Balance sheet transformation with £373m rights issue completed on 5 April 2013 and £375m corporate bond issued on 5 June 2013

Continued momentum:

  • Group net revenue up 20% and Operating profit2 up 8%
  • Outstanding growth in Online Sportsbook net revenue +44%, driving overall online net revenue growth, up 18% and Operating profit2 growth, up 16%
  • Continued strong growth in mobile with mobile Sportsbook amounts wagered up 112% and mobile gaming net revenue up 198%
  • Strong over-the-counter (OTC) gross win margin growth drives growth in Retail net revenue1. Operating profit2 down only £2.2m after additional c£5m taxation charge following change to Machines Games Duty in February
  • Basic adjusted earnings per share +16% and dividend +16%
  • Net debt for covenant purposes increased to £821m (2 January 2013: £339m) with impact of acquisitions offset by £373m (net) rights issue


Ralph Topping, Chief Executive of William Hill, commented:

"I am pleased with the extent of the strategic progress we have made in the last six months. Australia is a very attractive proposition and, since we assumed ownership, we are excited by the opportunity we see to develop William Hill Australia by improving our digital offer and targeting the recreational customer. Taking control of Online is giving us more freedom both to invest and to use that expertise across the Group, including in Australia, where we have a team from Online helping to develop the proposition to compete more effectively. That work is ongoing and will be completed in early 2014.

“At the same time, we have continued the momentum in Online, particularly in mobile Sportsbook. The shift to mobile gaming is an important development and we have invested significant resources in getting the business fully prepared to accelerate this important opportunity. With almost 200% growth in mobile gaming net revenue in the first half, this decision is clearly justified.

“While online and mobile gambling have grown substantially, Retail has continued to prove resilient, with net revenue growing, driven by both betting and gaming. Profits have held up well even without a major football tournament and with the business being hit by additional tax. As the UK economy improves and consumers generally feel more confident, we remain confident Retail will continue to prosper.

“Looking forward, we are continuing to innovate and to invest, developing mobile gaming, rolling out the next generation gaming machine in the shops and with a clear plan for maximising the value of our acquisitions for the long-term benefit of the business.”

Analyst and investor presentation
9.00 a.m. BST on 2 August 2013
The Lincoln Centre
18 Lincoln's Inn Fields
London WC2A 3ED
Live conference call:
Tel UK: 0800 368 0649
Tel int'l: +44 (0) 20 3059 8125
Passcode: William Hill
Archive conference call
(until 16 August 2013)
Tel: +44 (0) 121 260 4861
Passcode: 8300085#

Video webcast:
Available live and, until
2 August 2014,
as an archive

A separate conference call will be held at 11.00 am BST for debt analysts and investors. Dial-in details are:

UK telephone: 0800 368 0649
International Telephone: +44 (0) 20 3059 8125
Passcode: William Hill debt investor call

Archive of the debt call:
Telephone: +44 (0) 121 260 4861
Passcode: 6199119#

William Hill PLC Ralph Topping, Chief Executive
Neil Cooper, Group Finance Director
Lyndsay Wright, Director of IR
On 2 August: +44 (0) 20 7404 5959
Thereafter: +44 (0) 20 8918 3614
Brunswick Simon Sporborg
Sophie Brand
Oliver Hughes
Tel: +44 (0) 20 7404 5959


Notes to editors

William Hill, The Home of Betting, is one of the world's leading betting and gaming companies, employing more than 17,000 people. Founded in 1934, it is now the UK's largest bookmaker with around 2,400 licensed betting offices that provide betting opportunities on a wide range of sporting and non-sporting events, gaming on machines and numbers-based products including lotteries. The Group’s Online business ( is one of Europe's leading online betting and gaming businesses, providing customers with the opportunity to access William Hill's products online, through their mobile, by telephone and by text services. William Hill US was established in June 2012 and provides land-based and mobile sports betting services in Nevada, and is the exclusive risk manager for the State of Delaware’s sports lottery. The Group acquired the Sportingbet Australia business in March 2013, which is one of the leading online corporate bookmakers in Australia, offering sports betting products online, by telephone and via mobile devices. William Hill PLC is listed on the London Stock Exchange and became part of the FTSE100 in May 2013. The Group generates revenues of over £1.2bn a year.

Cautionary note regarding forward-looking statements

These results include statements that are, or may be deemed to be, "forward-looking statements". These forward-looking statements can be identified by the use of forward-looking terminology, including the terms "believes", "estimates", "anticipates", "expects", "intends", "plans", "goal", "target", "aim", "may", "will", "would", "could" or "should" or, in each case, their negative or other variations or comparable terminology. These forward-looking statements include all matters that are not historical facts. They appear in a number of places throughout these results and the information incorporated by reference into these results and include statements regarding the intentions, beliefs or current expectations of the directors, William Hill or the Group concerning, amongst other things, the results of operations, financial condition, liquidity, prospects, growth, strategies and dividend policy of William Hill and the industry in which it operates.

By their nature, forward-looking statements involve risks and uncertainties because they relate to events and depend on circumstances that may or may not occur in the future and may be beyond William Hill's ability to control or predict. Forward-looking statements are not guarantees of future performance. The Group's actual results of operations, financial condition, liquidity, dividend policy and the development of the industry in which it operates may differ materially from the impression created by the forward-looking statements contained in these results and/or the information incorporated by reference into these results. In addition, even if the results of operations, financial condition, liquidity and dividend policy of the Group and the development of the industry in which it operates, are consistent with the forward-looking statements contained in these results and/or the information incorporated by reference into these results, those results or developments may not be indicative of results or developments in subsequent periods.

Other than in accordance with its legal or regulatory obligations (including under the Listing Rules, the Disclosure and Transparency Rules and the Prospectus Rules), William Hill does not undertake any obligation to update or revise publicly any forward-looking statement, whether as a result of new information, future events or otherwise.

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