Rank Group has reported steady net revenue gains at £216.1m (up 5% year-on-year) in the post-Remote Gaming Duty hike era.
The Grosvenor and Mecca Bingo owner posted like-for-like digital net gaming revenue of £64.9m for its Q1 trading period, which represents a 6% YoY increase.
Rank saw digital growth across both its UK business (6%) and international presence (4%). Net revenue from the Mecca online brand went up by 7% YoY.
“The UK business continues to demonstrate resilient customer metrics despite the higher tax regime introduced in April 2026 and reduced above-the-line marketing spend,” the company said.
“Our focus on the customer proposition and overall marketing spend balance remains a priority as the wider digital landscape continues to reset.”
Elsewhere, Rank’s retail arm also saw YoY revenue improvements. Grosvenor casinos grew by 6% (£108.1m), accompanied by a 1% increase in visits and 5% more spending per visit.
Revenue from table gaming went up by 3%, electronic gaming brought 5% more YoY revenue, while revenue from gaming machines was up 14% YoY.
The latter could be affected further down the line by a potential increase in Machine Games Duty from 20% to 40% being introduced in this year’s Autumn Budget.
On the topic, Rank Group Chief Executive Officer Richard Harris, said: “Speculation regarding the upcoming Budget continues to weigh heavily on investor sentiment, but our message has been clear: any increase to Machine Games Duty will increase costs, reduce venue viability, lead to venue closures and job losses, reduce tax receipts and halt investment.
“HM Treasury recognised these economic arguments last year and, with the right conditions, we believe our casinos and bingo clubs can play an important role in the Government’s growth agenda.”
Taxes up, visits down
Harris recently suggested that this potential hike could lead to Rank closing around a third of its venues.
Back to the trading update, Mecca venues revenue came in flat YoY at £32.2m. Rank reported that customer visits were down by 3%, while spending per visit increased by 3%. Apparently, the drop in customer visitors was primarily driven by the “prolonged UK heatwave”.
Over in Spain, Rank’s Enracha venues brought in £10.9m, which constituted a 7% YoY increase.
The company’s rest-of-year outlook “based on the current industry tax regime” retained confidence in delivering profit in line with market expectations.
Harris concluded: “I am pleased with the revenue growth we have seen in the first quarter, particularly the progress we continue to make in terms of gaming machine performance in Grosvenor and the resilience of our UK digital business.”