Following the sale of Betdirect to Stan James for £5.75m, 32Red’s disastrous move into online sports betting is at an end. Ed Ware and his team have had to take one on the chin, much to the sniggering amusement of many in the online gaming industry.
However, good news appears to be on the horizon with the recent trading announcement that turnover is up in 2007 following a strong performance from its casino operation. Gross win rose 5.6% overall, to £10.2m, with casino contributing £9m of that total. Poker was down 7% on the year to £1.2m. Active casino players are up to 19000 and the yield per active casino player comes in at £474.
The acquisition of Betdirect appears to have resulted in the management team at 32Red taking their fingers off the pulse. However, despite posting solid casino numbers the company appear at a cross roads. Where they go from here is open to question. Fortune favours the brave and with a declining average yield per player, 32Red’s future outlook looks fairly predictable.
