In its interim report for the six months to 30 June 2007, the Rank Group Plc says it has achieved operating profit growth in its bingo, casino and interactive sectors. According to Ian Burke, chief executive of Rank, "We have enjoyed a positive start to our first year as a focused gaming business. The group has generated a strong increase in operating profit as a result of the actions taken to grow revenues and to reduce costs.”

Several changes this year in the gaming industry have influenced decisions made by Rank. There has been a substantial rise in gaming duty levied by the government, the implementaion of a smoking ban in England on 1 July, and the Gambling Act 2005 due to be introduced on 1 September. Rank has taken steps to stabilise its Mecca Bingo business by preparing for the smoking ban.

Rank is aiming to broaden the appeal of its Grosvenor Casinos to bring them into the mainstream leisure market. Gaming and non-gaming products have been developed and the company has focused on customer recruitment and customer service. Blue Square, the interactive sector, has delivered another strong rise in operating profit. Rank is investing in marketing Blue Square to promote future growth in the UK and seeking to open new markets.

Ian Burke said, "At a group level we have been focused on preparing all of our businesses for the introduction of the new Gambling Act, to make the most of commercial opportunities and to adapt procedures to ensure that we maintain our high standards of responsible operation. In addition we have been active in making representations to Government regarding the fairness and openness of the taxation of our businesses.”

Revenue for the first six months of 2007 was £284.6 million compared to £277.3 million for the same period of 2006. Group operating profit before exceptional items from continuing operations was £47.9 million (£38 million in 2006). Ian Burke concluded, "The UK gambling market has entered a dynamic phase in its development, driven by changes in social attitudes, the modernisation of gambling laws, advances in technology and investment in modern licensed gaming premises. Whilst continuing to address the near term challenges facing our businesses, we remain focused on the long term growth opportunities within gaming." (E-08.30.07)

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