Casino giant breathing easy after smoking ban
STANLEY Leisure, Britain's biggest casino operator, said today that its business in Scotland had not been affected by the smoking ban.
As the company posted a near doubling in annual profit, it said the ban on smoking in enclosed public places, introduced in March, "has not had a material effect on our four casinos in Scotland".
Stanley, which has three of its 41 casinos in Edinburgh, including Cascades in Leith, said it made a pre-profit on continuing operations of ?31.9 million in the year to April 30, a rise of 97 per cent on the previous year on revenues that were two per cent higher at ?224.8m.
But the company said the start of the current year had been hit by a double whammy of a number of big wins at its London casinos and Italy's success in the World Cup, which had affected its international betting unit.
In June 2005, the Liverpool-based firm sold its retail betting operations to bookmaker William Hill for ?504m, netting Stanley a profit on the deal of ?340.1m.
That allowed it to concentrate on its casino operations, a move which together with the scrapping of the of law requiring gamblers to be a member for 24 hours before attending venues, helped it lift attendances by an "unprecedented" 17 per cent at its estate outside London.
Chief executive Bob Wiper described the performance as "satisfactory" in what he said had been "a strategically important year". He added: "We have made significant progress in our five year development programme and this, combined with Stanley Leisure's strong pipeline of new licences, positions the Group well to capture further benefits arising from deregulation [of the gaming industry]."
The terrorist attacks in London last summer had hurt business at the group's four casinos there, which include its flagship Mayfair venue Crockfords, during late summer and early autumn. But attendance levels recovered and provided for a "strong" second half.
Mr Wiper said the current trading year had "started satisfactorily" with its provincial casino estate, which also includes a venue in Glasgow, were continuing to see attendances grow. Its London casino had also seen attendance growth, but the group said that it had taken some "material losses" to a number of major players in London in recent weeks.
Stanley also reported high levels of business for its international betting arm with turnover up 27 per cent to ?32m and operating profit up 90 per cent at ?5.5m.
And while the start of the current year had seen strong trade continue, the firm said: "Unfortunately, with much of this business being generated through our Italian agents, the results of the games were not good from our point of view and has led to a negative contribution from this tournament."
Stanley also said that chairman Lord Steinberg, who started the business in Belfast with just two betting Belfast shops in 1958, would quit his role but had agreed to accept the position of Life President of the group.
