Listen to this article:An impressive set of full-year results from Rank Group saw profit rise by 21%, with its casino, bingo and digital businesses all recording growth.
The owner of Mecca Bingo and Grosvenor Casinos generated underlying operating profit of £78.6 million in the year ending 30 June 2026, up from £64.8 million a year earlier. Like-for-like net gaming revenue increased by 6% to £834.1 million.
There was particularly encouraging news for Mecca Bingo, where like-for-like net gaming revenue increased by 4%, and underlying operating profit more than doubled. However, the improved financial performance came during a year in which Rank closed nine Mecca clubs that it considered commercially unviable.
Mecca Bingo venues generated £143.1 million in total net gaming revenue during the year, while underlying like-for-like operating profit increased from £4.3 million to £8.9 million, a rise of 107%. Gaming machines played an important role in that improvement. Like-for-like machine revenue increased by 6% and accounted for 42% of Mecca’s net gaming revenue.
Rank has been investing in the gaming machine areas at a number of clubs, including Romford, Acocks Green, Swansea, Gateshead, Thanet, Croydon and Stockton. Clubs that received investment recorded a 9% increase in gaming machine income compared with the previous year. There were also smaller improvements elsewhere in the business. Food and drink revenue increased by 1%, while the main interval bingo game remained broadly flat year-on-year.
Rank is also continuing to modernise Mecca’s clubs and technology. A new Mecca app began operating at five venues during the second half of the year and is due to be available at all the operator’s clubs by the end of the first quarter of the new financial year.
The improved profitability came despite a significant reduction in the size of the Mecca Bingo estate. Rank closed nine clubs during the financial year, reducing the total from 50 venues to 41. The closed clubs had generated £12.6 million in revenue during 2025/26.
The company says its strategy is now focused on generating more cash from a smaller and higher-quality estate. It has been assessing clubs based on factors including customer demand, current and potential financial performance and local competition when deciding where to invest and which leases to extend.
At the same time, Rank continues to spend money on the venues it believes have better prospects.
The company completed a £1.6 million investment in Mecca Bingo Stockton in early August, including a new social lounge designed to broaden the club’s appeal. It has also invested in new external signage at venues including Romford, Wednesbury, Wrexham, Acocks Green, Glasgow Quay, Swansea, Oldham, Drumchapel, Gateshead, Harlow and Bolton.
Another financial boost came from the abolition of bingo duty. The change took effect during the final quarter of the year and saved Rank £1.6 million during the period. The company expects the annual benefit to Mecca to be around £6.4 million in 2026/27.
Mecca was not the only part of Rank to perform well. Grosvenor Casinos remained the group’s biggest business, with like-for-like net gaming revenue increasing by 5% to £397.3 million. Underlying operating profit rose 11% to £35.5 million.
Digital like-for-like net gaming revenue increased 8% to £248.5 million, while underlying operating profit from the division also rose by 8% to £37.9 million. Within digital, the Mecca brand recorded like-for-like revenue growth of 6%, showing that the bingo brand’s improved performance was not limited to its land-based clubs.
However, Rank is facing considerably higher taxation on its online business following the increase in Remote Gaming Duty from 21% to 40% on 1 April 2026. The company has responded by reducing marketing and other costs while continuing to invest in customer incentives and performance marketing.
Despite the good underlying results, statutory operating profit fell by 7% to £55.7 million. This included the effect of several separately disclosed costs, including a £6.5 million loss connected to a payment fraud incident in Spain and a £5 million provision relating to a proposed Gambling Commission settlement.
The new financial year has started strongly, with group net gaming revenue at Rank Group rising by 8% over the first six weeks.
The company is continuing to target underlying operating profit of at least £100 million over the medium term. However, it expects the increase in Remote Gaming Duty to reduce digital profitability during 2026/27.
For Mecca Bingo, the outlook is more positive. Rank expects the combination of a smaller estate, the abolition of bingo duty and continued investment in its stronger clubs to help the business deliver double-digit operating profit during the current financial year.
We do not sell or share your information with anyone. You may unsubscribe at any time.
Latest
