Paddy Power sees full-year profits rise but warns punters are placing fewer bets

Big bets placed on the Mayweather-McGregor fight boosted the bookmaker

Paddy Power said a ‘sustained period’ of sporting upsets, which benefit bookmakers, ‘significantly affected’ customer activity (Getty)

Paddy Power Betfair has reported rising full-year profit off the back of bookmaker-friendly results, but warned that punters are placing fewer bets as a result.

The company reported an 18 per cent increase in full-year underlying earnings to £473m in 2017 on revenues of £1.74bn, up 13 per cent.

Sales and earnings were helped by punters betting big on the Mayweather-McGregor fight late last year.

But the firm added that a “sustained period” of sporting upsets, which benefit bookmakers, “significantly affected” customer activity, including reduced recycling of winnings.

Paddy Power also announced an additional £20m investment in marketing and customer proposition to boost the brand.

Boss Peter Jackson said the company is readying for the World Cup in Russia this summer.

“Following the successful completion of our European technology integration, Paddy Power customers are now enjoying the fastest sports book app in the market.

“Our considerable development resources will now be focused on bringing more new products to customers, some of which will be delivered ahead of the World Cup,” he said.

In 2016, bookmakers across the board were boosted by the European Championship, in particular by England’s embarrassing exit at the hands of minnows Iceland.

The betting industry is also facing a raft of regulatory changes aimed at cracking down on problem gambling, including curbs on fixed-odds betting terminals.

But Mr Jackson said Paddy Power is “well positioned” to deal with any regulatory challenges.

PA