Tabcorp bets on itself for the future

Nanjing Night Net

TABCORP is pushing for New South Wales to keep its wagering licence exclusive next year, but backed itself to beat the competition whatever the outcome.

”The last jurisdiction to review its off-course licensing arrangements was Victoria and that state determined that a sole retail wagering licence was the optimal model,” Tabcorp chairman Paula Dwyer told investors at Wednesday’s annual meeting.

”We are hopeful that the NSW government will come to a similar conclusion when reviewing the best model for funding its racing industry.”

Tabcorp recently reported a 2.9 per cent rise in revenue to $488.9 million for the first quarter, with wagering revenue down slightly due to less favourable terms governing its new wagering licence in Victoria.

But the company said it had increased its share of the overall wagering market, demonstrating the success of its strategies.

”We are competing well,” Ms Dwyer said. ”We have increased our share of wagering turnover to 44 per cent … so we’ve increased it in a period of heightened competition. We’ve invested in our channels to market so we believe we have got the most competitive offering.”

Ms Dwyer offered little news on the company’s $687 million legal action against the Victorian government over the loss of its poker machine licence this year.

She said the company would not put a limit on legal costs. The matter was before the court and Tabcorp would continue to evaluate the case.

Ms Dwyer said the case could take years.

All the company’s resolutions were passed with strong support from shareholders, although there was contention about whether it was appropriate to have Tabcorp’s former chief executive, Elmer Funke Kupper, on the board.

A representative of the Australian Shareholders Association said it was ”poor governance” for a former CEO to serve on the board and look over the decisions made by current chief executive David Attenborough.

The ASA did not believe Mr Funke Kupper could efficiently serve on the board of Tabcorp as well as being chief executive of the Australian Securities Exchange.

This story Administrator ready to work first appeared on Nanjing Night Net.