One of Ireland’s better known “exports”, bookmaker Paddy Power published its financial results for 2012, boasting a 15% rise in profits.
Although possessing hundreds of high street shops at home and across the UK, the company has established itself among the leading online sportsbooks in Ireland and indeed globally, deriving most of its income from its Internet operations by now.
While its Isle of Man license allows Paddy Power to offer services under British and Irish gambling laws, as well as several other regulated markets, many punters also contribute to the company’s revenues from countries that ban such international wagering in theory, but fail to enforce it in practice.
In fact, by expanding its range of products beyond sports betting to include casino games, poker and bingo, and by providing mobile betting, the company doubled the number of active customers to reach 1.6 million in just two years. Mobile has been an incredibly high growth area, with revenues from portable device betting going up a mind-blowing 185% last year.
Online gaming overall contributed nearly three-quarters of Paddy Power’s EUR 139.2 million profits. This does not mean that virtual presence would be replacing the physical one anytime soon, considering that profits from the company’s UK shops also went up by a hefty 46%.
Obviously, the days when the British expansion threatened the Irish bookmakers are now long gone. With some of its major competitors facing challenges in generating sizable online profits, Paddy Power is on the right track to make them sweat on their home turf.