A harsher regulatory environment is making business tough for the gambling sector, but betting-exchange group Betfair (BET) looks well placed ahead of results next week. A strong third-quarter performance saw revenues grow 5 per cent in the three months to January, with mobile revenues up 68 per cent. That was helped by good trading in the US, where sales rose 24 per cent.
But while digital operations and the US market are sources of growth, a tougher UK tax regime looms. The new Point of Consumption tax, due for implementation in December, will mean a hefty 15 per cent duty for online gambling operators. Betfair has responded by upping its marketing efforts in a bid to build its customer base. It plans to double its share of television coverage this year.