International betting technology firm Sportech has held its annual general meeting today, updating investors on its performance so far this year with specific focus on US activities. Executive Chairman Richard McGuire told the meeting that the group has made good progress during 2019, implementing its strategy to drive longer term profitability, and continuing to trade in line with expectations.
He stated: “In Tote Services, we continue to secure new and extend various existing client contracts across all geographies and also maintain a focus on enhancing the system capability and innovation. Sportech’s Quantum Tote software recorded a successful Kentucky Derby day when processing almost 100 million betting transactions via more than 13,000 points of sale across the US and recording a 14% growth in Sportech’s own retail internet volume.”
“The global horse racing Tote market is showing signs of stabilization and management continues to focus on driving further efficiencies, specifically managing the cost base whilst developing innovative new products and strengthening our digital capabilities to deliver a relevant, exciting and comprehensive product suite to the market.”
On the legislative situation impacting the introduction of legal sports wagering in Connecticut, he added: “Sports betting legislation in Connecticut, where Sportech is headquartered, employs 400 staff and has extensive business interests, remains a core objective for the group. Sportech continues to work with all relevant parties to seek a solution, however the 2019 Connecticut General Assembly Regular Session adjourns on 5 June 2019 and there can be no certainty the relevant sports betting legislation will be passed prior to this date.”
McGuire continued: “Our Venues business held a successful first two legs of the US Triple Crown, however US horse racing handle remains challenging and is further tested by neighboring States such as New Jersey, Pennsylvania and Rhode Island offering sports betting, which has attracted some of our more significant retail customers. Management remains focused on seeking appropriate sports betting licensing and is ready to deliver sports betting opportunities in line with the State legislative timetable, as noted above.”
McGuire also offered an update on Sportech’s Bump 50:50 division software program that allows NHL, MLB, NFL, NBA and NCAA sports foundations to raise more money through their 50/50 raffle program. “At Bump 50:50 our developers continue to devise system enhancements providing clients greater control over the management of their raffle programs, delivering efficient customer service demands, and improved cost management,” he said.
“Bump continues to pursue opportunities and strategies in both US professional and collegiate sports, while seeking to expand its global reach. With legal requirements for mobile and online raffles becoming more accessible in new jurisdictions Bump continues to focus on this initiative to deliver incremental cost-effective returns.”
