LONDON -- Ladbrokes
Ladbrokes said: "Strong growth in operating profit in U.K. retail and an improved performance in our European Retail and Telephone businesses was pleasing and more than outweighed a decline in Digital profits, which was greater than expected due largely to a weak sportsbook margin in Q2 and exacerbated by delays in technology."
The disappointing performance in Digital has cost Richard Ames his job as head of product. Ames was relieved of his duties just two days before the company revealed a halving of operating profits at its Digital division.
Ladbrokes added: "We remain committed to our Digital strategy of building a more competitive offer through a combination of on-going investments to enhance our marketing, product and technology."
To ensure an increased focus on its Digital business, the company has promoted its director of IT to the executive committee to ensure technology delivery is given "increased profile and scrutiny."
Digital is likely to be a key battle field between Ladbrokes and other bookies that include William Hill
The Irish bookmaker has delivered a total return of 1,170% over the last 10 years, which equates to an average return of 29% a year. William Hill is a distant second with a respectable annual return of 9.6%, and the backmarker with a substandard total return of just 2.9% has been Ladbrokes.
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David owns shares in William Hill. The Motley Fool has a disclosure policy. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. Try any of our Foolish newsletter services free for 30 days.