Mecca Bingo Owner Rank Group Cuts Full-Year Forecast

game company Ranking group lowered its full-year forecast on Thursday as it pointed to weaker performance in March and highlighted inflationary pressures.

For the year to June 30, the group now expects EBIT to be between £47m and £55m, down from the previous forecast of £55m to £65m. This takes into account trends in the third quarter, including the softness of its UK sites towards the end of the quarter and the continuation of inflationary costs.

Rank said it was entering the fourth quarter at the start of a traditionally low seasonal period at its Grosvenor sites with declining visitor numbers. He expects to see an improvement in performance after April, but said it remains to be seen how trends in the return rate of office workers in city centers and overseas customers in London will develop towards the summer. .

In an update for the quarter to the end of March, the company said the group’s like-for-like net gaming revenue increased 221% from the same period a year ago to 156.4 million. pound sterling. The company’s UK sites – Grosvenor and Mecca – were closed for the entirety of the third quarter of last year, while Enracha’s sites in Spain were open for part, but under very tight capacity restrictions. strict.

Compared to the most recent third quarter comparable period unaffected by Covid in 2019, NGR at the Grosvenor and Mecca sites were down 14% and 25% respectively. The company attributed a weakness in visits to its UK sites at the end of the quarter to an increase in new Covid cases reported across the UK.

The performance of its Enracha sites, however, continued to recover, with NGR down only 2% compared to the same quarter in 2019.

Managing Director John O’Reilly said: “The performance of our sites weakened in March, and this continued during the first weeks of the fourth quarter, which had an impact on our current expectations for our performance over the whole year.

“We recognize the pressures on UK consumers, but we are confident that the improvements we continue to make to the customer proposition and the investments in our sites, together with the gradual reduction in the impact of the pandemic and, with she, the return of foreign customers, position well for the coming year.”