Rank Group is envisioning a significant increase in its ‘underlying profitability’, after securing strong interim financial results with growth across all core business units.
H1 2025/26 trading saw the group generate corporate revenues of £419m an increase of 6% on 2024/25 comparatives of £396m.
Period trading saw group operating profits stand at £40.6m, up 22% on 2024/25 results of £33m. The outcome is viewed as a strong marker for Rank’s business, as leadership sets a new ‘mid-term focus’ to generate at least £100m in operating profits.
A breakdown of units sees Grosvenor Casinos maintain income growth of 6% to £204m. However, Grosvenor period profits remained stagnant at £21m due to new wage contracts, venue investment and renovations.
Mecca Bingo delivered stable results, as period income increased by 4% to £70m (from £67m). The unit continues to enhance profit results to £2.7m (H1 2024/25: £0.7m), led by the optimisation of the smaller venues with a “pivot toward higher-yielding product mix”.
Leadership reiterated that Mecca’s strategic focus remains “medium-term cash maximisation”, supported by targeted refurbishments and customer-experience upgrades and a diversified offering of new games machines.
Digital Growth Engine to be protected
Rank Digital remains the fastest-growing unit, reporting net income of £124m, up 8% (H1 2024/25: £115m). Underlying operating profits rose 12% to £18m (from £16m), supported by growth in the UK-facing portfolio and improved monetisation among core customers.
Period results saw Rank Digital maintain the strong growth profile of the Grosvenor Online platform, cited as a key growth driver, outperforming growth targets set against tough comparatives.
Attention now shifts to the UK Government’s significant tax change, with Remote Gaming Duty (RGD) rising from 21% to 40% from April 2026. Rank estimates an £46m annualised impact pre-mitigation on its UK online units.
Leadership outlines that early action intends to “protect margins, including reducing above-the-line marketing spend and withdrawing TV sponsorship commitments”, while also pursuing supplier renegotiations and operational efficiencies.
Rank expects the profitability impact to become more visible in Q4, even as it prioritises customer experience and retention.
In Spain, Rank returned to modest growth of its EnRacha brand, generating revenues of £22m. However, EnRacha provided no profits as growth was offset by a £6.5m payment fraud loss in its Spanish operations, disclosed in December 2025. Rank confirmed the incident was a key factor behind lower statutory profits, adding that controls have since been strengthened and recovery of the funds is unlikely.
Leadership transition: O’Reilly signs off in confidence
Rank’s interim statement also marked a significant leadership moment, confirming that John O’Reilly will retire as CEO effective 29 January 2026, while continuing to support the business through the remainder of FY2025/26.
The group confirmed that CFO Richard Harris will assume the role of interim CEO from 30 January 2026, with an interim CFO process said to be “well advanced”.
Providing his last statement as Rank CEO, John O’Reilly said: “Customers recognise the investment and improvements we have been making and are responding enthusiastically. Both the underlying metrics and medium-term outlook for the business remain encouraging, and we have the building blocks in place to capitalise on the opportunities ahead of us.”
The second half of the year will bring further cost headwinds, principally in our UK digital business, which will be impacted by the UK Government’s huge increase in tax rates. We have already executed measures to mitigate some of this impact, whilst continuing to prioritise customer experience, and the Group will respond with agility as a heavily disrupted landscape takes shape in the UK.
As I retire as CEO of Rank, I would like to pay tribute to my highly talented colleagues across the Group for their enduring commitment to our customers, which has again delivered another strong set of results. I am delighted that, as interim CEO, Richard Harris will now take Rank to the next stage of what I am sure is a very bright future.”
