Land-based and digital business reported strong results, as the group prepares for its widest gaming machine growth in about 20 years.

Key Points

• The group saw its net gaming revenue (NGR) rise 11% to £795.3m and the underlying operating profit grew by 38%.
• Revenue at Grosvenor climbed 14%; Digital revenue went up 10%, supporting the 8–12% compounded annual growth goal.
• Rule changes allow about 850 extra gaming machines and will start sports betting at 38 sites.

Like-for-like NGR for Rank Group stood at £795.3m ($1.07bn) in the year ending 30 June 2025, showing an 11% annual rise. Each division contributed, with Grosvenor casinos up 14%, Digital up 10%, Mecca up 5%, and Enracha in Spain up 9%. The group’s underlying operating profit increased by 38% and landed at £63.7m, with margins now at 8.% versus 6.5% previously. Their statutory operating profit more than doubled to £67.m, while profit after tax saw a rise from £12.m in FY2024 to £44.6m.

Net cash (pre IFRS 16) reached £45.4m, more than double last year, and the board suggested a final dividend of 1.95p per share, bringing the year’s payout to 2.60p. Return on capital employed improved, now at 14.5% instead of 10.3%, helped by careful investment in venues and digital systems.

Legislative Reforms to Drive Expansion

Land-based casino reforms approved in July 2025 represent a change for UK gambling rules. Under updated rules, smaller casinos in England and Wales can have five gaming machines per table, up from two before, while keeping the 80-machine limit per venue. Rank expects to add about 850 machines across 50 Grosvenor sites during FY2026, in addition to the 1,367 B1 machines already installed. Sports betting will launch in 38 locations, expanding its range and aiming for more customers. The company also gave a June 2025 update explaining a long-term goal of increasing machines by 882 units over two to three years, plus opening discussions with Scottish officials about bringing similar changes north. Since 2005, these reforms have been the biggest update to UK casino machine numbers.

Digital and Cross-Channel Growth

Digital net gaming revenue increased 10%, which matches the 8–12% yearly growth set by the company. Proprietary platforms made it possible to launch new applications, add free-to-play games, and build features that create a smooth customer journey between digital and land-based gaming. Operating margins improved, even with challenges from the Gambling Act Review. For Mecca bingo, like-for-like NGR rose 5% because of focused upgrades in machine areas and new signs. In Spain, Enracha revenue went up by 9%, and more visits came from machine upgrades.

Safer Gambling and Operational Initiatives

The group expanded their own Hawkeye safer gambling tool, now built into the central customer engagement system. This move lets Rank monitor activity in real time and control risk better. Employee engagement also saw progress, reaching a score of 8.3 for Rank, putting them in the top group compared to others in the consumer sector.

CEO Commentary and Outlook

Chief Executive John O’Reilly said that the year was a success, showing both more revenue and a profit above what was expected. He stated that feedback from customers about the company’s new investments was positive, whether online or at physical sites. He said further that the new casino reforms would allow Grosvenor to raise the number of gaming machines and offer sports betting, making casinos better for existing guests and appealing to more people. Rank began FY2026 with group NGR up 9% for the first six weeks, and expects to meet the targets set for the year. They see more room to grow by adding more machines across venues, improving the digital platform, and linking sports betting with their physical gaming sites.

Since the pandemic, The Rank Group has moved away from hospitality restrictions. Every brand has experienced yearly growth, with Grosvenor leading in net gaming revenue and profit. Still, the January H1 update highlighted a new challenge, UK inflation. According to management, recent years have brought higher inflation, making Grosvenor and Mecca cover more costs for things like energy, supplies, and especially wages. Gambling businesses, they say, cannot pass these costs onto customers quickly. While some pressures dropped, employment costs increased again in the last years.

To fight these costs, Grosvenor focused on improving their venues nationwide. During H1, they updated 341 electronic roulette machines, gave out 322 new electronic baccarat licenses to terminals in 33 sites, and started sports betting trials at Grosvenor Luton. Poker players are also in focus, as Goliath reached nearly 12,000 participants this year, the biggest poker event outside Las Vegas, offering a total prize pool of £1.9m.

Land-based casinos face hurdles with changing needs, due to strict site rules and the need to physically move machines for game updates. Rank and Grosvenor show they are adapting. The company launched updated management training, installed new table control systems, rolled out renovation plans, and brought in more game machine manufacturing partners, now totalling five. Even though it will take time for the effects of new laws to show, Rank Group is preparing to manage these changes.