Rank Group Reports Strong H1 2025/26 Results and Positive Outlook
Strong Performance in the First Half of Fiscal Year 2025/26
The Rank Group has announced its interim results for the six months ending December 2025, showcasing a robust performance across key financial metrics. During this period, the company reported a net gaming revenue of GBP 419.8 million ($580.4 million), which represents a 6% increase compared to the same period last year.
The firm’s underlying operating profit rose by 15% to GBP 40.6 million ($56.1 million). However, the statutory group operating profit saw a decline to GBP 31.3 million ($42.3 million), primarily due to a GBP 6.5 million ($9 million) loss resulting from a payment fraud incident in Spain.
Rank Group also reported a net free cash flow of GBP 3.8 million ($5.25 million) and closed the period with a net cash balance of GBP 39.4 million ($54.5 million), an increase from GBP 24.2 million ($33.5 million) in the previous year.
The return on capital employed improved to 15.9%, while capital expenditures in H1 were GBP 27.6 million ($30.2 million), consistent with the prior year. The company anticipates its full-year capital expenditure for 2025/26 to range between GBP 50 million and GBP 55 million ($69.1 million to $76 million).
In terms of shareholder returns, the board proposed an interim dividend of 1.00 pence per share, marking a 54% increase year-on-year. This decision reflects the leadership’s strong confidence in the company’s future prospects.
Following this positive performance, Rank Group reaffirmed its target to achieve at least GBP 100 million ($138.3 million) in annual operating profit.
Division Performance Highlights
The company’s Grosvenor division averaged weekly net gaming revenue of GBP 7.8 million ($10.8 million). Despite some challenges in the second quarter, including industry uncertainties linked to the UK’s new budget, Rank Group enhanced its Grosvenor venues by installing 850 new gaming machines across 37 locations.
In Spain, the business experienced growth in the second quarter that compensated for a slight downturn in the first quarter. Meanwhile, in Portugal, Rank Group’s YoBingo brand conducted a soft launch and is preparing for a full launch in February.
The Mecca and Enracha brands also reported net gaming revenue growths of 4% and 6%, respectively, during this period.
Outlook and Leadership Changes
John O’Reilly, CEO of the Rank Group, emphasized the company’s resilience and ability to capitalize on opportunities across both its digital and retail operations. He highlighted that the underlying business fundamentals and mid-term outlook remain positive, despite anticipated cost pressures in the UK digital segment due to increased government tax rates.
O’Reilly will be stepping down as CEO, with Richard Harris appointed as the interim replacement moving forward.
