(Reuters) - British bookmaker Ladbrokes (LON:LCL) Coral Group said on Tuesday 2016 operating profit rose 22 percent despite paying out heavily on a number of gambler-friendly sports results towards the end of the year.
The company, created when Ladbrokes joined forces with Coral in a $3.4 billion merger last year, said operating profit rose to 264.3 million pounds ($331.5 million), helped by growth in its digital and European retail businesses.
Revenue rose 11 percent to 2.3 billion pounds.
The company upgraded its forecasts for cost benefits from the merger to 100 million pounds from 65 million.
Revenue at its European retail business, which comprises brands such as Eurobet Italy, Ladbrokes Belgium, Ireland and Spanish joint-venture Sportium, were 24 percent ahead of last year.
Digital revenue, coming from channels such as Ladbrokes.com, Coral.co.uk, Galabingo.com, Galacasino.com, were up by a third to 666 million pounds.
Total group net revenue was 2 percent ahead of last year for the period of Jan. 1 to March 19, the bookmaker said commenting on current trading, adding that it remained in-line with its expectations for the year.
Ladbrokes shares dipped 2 percent to 132.5p by 0710 GMT, having previously gained around 14 percent this year.
