Paddy Power Betfair reports good trading in third quarter

Revenue rose 9% to £440m in the three months to the end of September, helped by strong growth at international operations. Underlying earnings increased 7% to £121m.

Paddy Power said it expected underlying earnings for the full year to be between £450m and £465m. In August it forecast earnings between £445m and £465m.

The company reported good growth in stakes for the period despite the absence of a major football tournament. In Australia revenue rose 29%, driven by new products and promotions, and US revenue was up 18%.

Revenue at the retail business rose 12% to £85m. Excluding new shops, revenue was up 7%, helped by increases in sports betting and machine gaming.

Breon Corcoran, Paddy Power's chief executive, did not mention new UK proposals to limit betting on fixed-odds betting terminals – known as the "crack cocaine" of gambling. The government has proposed cutting the stake limit from £100 to as low as £2 to protect vulnerable gamblers.

Corcoran, who is standing down in the new year, said: "While the industry remains highly competitive and is exposed to regulatory risks, I believe the business's scale, leading capabilities and market positions mean it remains well placed to deliver sustainable, profitable growth."

He was chief executive of online gaming company Betfair when it merged with Paddy Power last year. Peter Jackson, the boss of WorldPay's UK business, will take over as Paddy Power's chief executive on 8 January.