Paddy Power proving a good bet on profits

Pre-tax profits for the six months to June rose 54 per cent to €52.5 million (43.1m) as gross wins over punters rose four-fold from the previous World Cup in 2006. Though the average stake per bet in the first half of the year fell 16 per cent, this was made up for by a rise in the overall number of customers.

Gross win from online betting in Ireland and the UK was 45 per cent higher, which boosted operating profit by one-third to 23.7m. Paddy Power's recently-acquired Australian business made an operating profit of 6.5m, including a 45 per cent rise in online gross win.

In the UK, which accounts for 43 per cent of the group's operating profits, retail earnings rose by more than one-quarter to 71,000 per shop.

Breon Corcoran, Paddy Power's chief operating officer, said the group would continue to build up its high street presence in the UK. He added: "We can now get into locations that we couldn't get into in the past," he said. "There are just better pitches available."

Paddy Power has opened 22 shops in the UK so far this year, taking its total to 158, including six in Scotland.