Rank Group expects FY profit to surpass forecasts despite regulatory settlement

Rank Group Plc has reported ‘stronger-than-anticipated’ financial performance for its full year ending 30 June 2026, despite the period including a regulatory settlement with the UK Gambling Commission.

On Tuesday , the gambling operator, which manages Grosvenor Casinos, Mecca Bingo, Spain’s Enracha Casinos and a UK-focused digital gaming business, announced it expected underlying operating profit for the year to reach at least £76 million.

This exceeds the prior market expectations of £63.7 million projected in their Q3 numbers.

Division by division

The company highlighted a 6% year-on-year increase in like-for-like net gaming revenue (NGR) to approximately £834.1 million for the 12-month period. This momentum extended into the fourth quarter, with a like-for-like NGR of £208.9 million also reflecting a 6% rise compared with the previous year.

Full-year performance was driven by growth across all business segments. Grosvenor Casinos generated net gaming revenue (NGR) of £397.3 million for the year, up 5%, with fourth-quarter NGR rising 3% to £98.3 million.

The digital division delivered the strongest annual growth, with FY NGR increasing 8% to £248.5 million and Q4 NGR climbing 12% to £63.9 million.

Mecca Bingo venues reported full-year NGR of £143.0 million, up 4%, while fourth-quarter NGR also increased 4% to £35.4 million.

In Spain, Enracha Casinos recorded FY NGR of £45.3 million, a 7% year-on-year increase, with Q4 NGR rising 6% to £11.3 million. The operator’s Spanish branch, including Enracha Casinos, was hit by a €7.1 million ($8.2 million) payment fraud in December of last year .

“The group has reported the matter to the relevant law enforcement agencies and is supporting their investigations, as well as carrying out its own internal investigation with the help of an external law firm,” Rank said in a statement at the time.

Performance at Mecca Bingo and Enracha Casinos was described as “in line with expectations”. Moreover, Rank reported tight control over operating expenses across all business units during the year.

Regulatory settlement

Separately, Rank disclosed plans to include a £5 million provision in its 2025/26 accounts relating to a proposed regulatory settlement with the UK Gambling Commission.

This follows preliminary findings from an ongoing review of Grosvenor Casinos Limited’s operating licence, addressing compliance issues that spanned the period of 1 November 2024 to 1 May 2025.

On 20 May, Rank submitted a settlement proposal including a payment of £5 million in lieu of a financial penalty. The amount was calculated with reference to gross gambling yield and recent Gambling Commission guidance effective from October 2025.

The company is awaiting a formal finalisation letter from the regulator. Rank stated remedial actions had been “substantially implemented” during the first half and emphasised its constructive engagement with the regulator.

Gaming machine performance drives growth, again

Rank Group noted a significant improvement in gaming machine revenues at Grosvenor venues, with a 12% increase in the fourth quarter, an improvement from 10% growth in Q3.

The uplift followed optimisation efforts and a substantial expansion of the estate by approximately 850 gaming terminals in the first half of the year. This followed UK government legislation that allowed casinos to increase the number of gaming machines on property in July last year.

This represented a 60% rise in machine numbers. The group identified gaming machine growth as a “significant opportunity” that underpins its broader expansion strategy.

“Gaming machine revenue growth remains a significant opportunity for the group,” commented Richard Harris, Rank’s chief executive. Harris was recently named permanent CEO following an interim tenure . He had been the CFO since 2022.

Q3 gaming machines were the operator’s fastest-growing vertical with NGR up 10%.

Digital revenue remains robust

The digital division, Rank’s secon