Philippe Germond Appointed Chairman and CEO of PMU for Another 4 Years Term

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PMU

Apr 12, 2012, 01:01 ET

PARIS, April 12, 2012 /PRNewswire/ --

 

  • The Annual General Meeting of PMU renews Philippe Germond's term of office in advance for another four years
  • Growth targets achieved in all businesses in 2011
  • Net profit increases by 10.8% in 2011, to €876 million

The Annual General Meeting of PMU, which took place on 5 April 2012, appointed Philippe Germond, Chairman and CEO, for another four years term , on the recommendation of France Galop and the Société d'Encouragement à l'Elevage du Cheval Français. On the recommendation of Philippe Germond, the AGM also approved the renewal of the term of office of Xavier Hürstel as Deputy CEO.

The renewal, which was approved one year ahead of the end of Mr Germond's first four-year term of office, demonstrates the confidence felt by the managers of the racing companies that make up the Economic Interest Group (GIE-PMU), just a few months after the election of the chairmen of France Galop and Cheval Français in December 2011.

After the AGM, Mr Germond said: "The confidence that the AGM members have placed in me will allow us to pursue and accelerate PMU's growth in the next four years and, in particular, to expand internationally. I know I can count on the dedication and talent of PMU's employees in achieving this goal."

PMU has been defining and implementing an offensive strategy for the past three years that aims not only to conquer new sports betting and poker markets, but also to maintain robust growth in its core business of horse race betting. As well as this expansion, PMU has updated its brand image and undergone an in-depth transformation to adapt to its new challenges.

Substantial growth in net profit in 2011, benefiting the horse racing industry

PMU registered an increase in bets of 7.3% in 2011, to €10.237 billion, due to an offensive strategy deployed across all its business lines. Players' wins increased by 8% to €7.745 billion, representing a rate of return of 75.7%.

While maintaining significant growth of 4.5% in its horse race betting business, PMU has confirmed the relevance of its diversification strategy, which has led to gains in market share. In 2011, its share of the sports betting market increased to more than 20%, and its share of the poker market is about 6%, making PMU.fr the leading general online poker group.

Net profit for 2011, which was entirely paid into the horse racing business, came in at €876.2 million, up 10.8%.

A robust performance by the horse racing business and strong growth in sports betting and poker in the first quarter 2012

The first quarter was marked by two negative factors: contracting consumption and household spending, and a period of cold weather, which affected race organisation. The horse race betting business withstood this difficult environment, with very slight growth in bets of 0.7%. Diversified activities, meanwhile, registered very strong growth (72% for sports betting and 54% for poker). Overall, stakes across all businesses grew by 3% and gross gaming income grew by 1.7%.

2011 turnover (€ million)

    EUR million                          2011         %
    Total bets                      10 237,20      +7,3
    Horse race bets                  9 765,50      +4,5
    Sports bets                           100     +129*
    Poker bets                          371,6    +141**
    Total gross gaming income          2489,1        +5
    Net profit                            876     +10,8

*+34% on the comparable period from 9/06/2011 to 31/12/2011 ** +30% on the comparable period from 2/07/2011 to 31/12/2011

Turnover in first quarter 2012 (€ million)

           EUR million           At 31.03.2012         %
           Total bets                 2 655,60        +3
         Horse race bets              2 489,50      +0,7
           Sports bets                    36,7     +72,2
           Poker bets                    129,3     +53,6
    Total gross gaming income            639,3      +1,7

Contact presse :
Paolo ANTONIO  
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SOURCE PMU