Why is Denise Coates’ payout so high during a profit slump?

Bet365 is privately owned by the Coates family, so remuneration reflects owner decisions, not public shareholder votes. The business still generated cash despite lower profit, enabling pay and dividends. For investors, the key issue is whether cash outflows limit reinvestment in growth or resilience as UK gambling tax rises.

How could the UK gambling tax changes affect operator margins?

Higher remote gaming duty to 40% from April, plus a sports betting tax increase in 2027, directly reduces gross profit per pound of wagering. Operators may cut promotions, tweak pricing, and shift mix toward higher-margin products. Even then, sector EBITDA margins likely compress until new cost structures and customer economics stabilise.

What does Bet365’s US expansion mean for competitors?

Sustained US expansion raises customer acquisition costs, product standards, and promotional expectations. Competitors may need to spend to defend share or refocus on markets with clearer profitability. Over time, scale benefits should lower promo intensity. Investors should track actives, net revenue per user, and marketing ratios to spot improving unit economics.

What should UK investors watch in gambling earnings updates?

Focus on marketing spend as a share of net revenue, hold rates, UK duty impact, and cash conversion after capex. Look for evidence of promo tapering, better retention, and mix shifts to steadier-margin games. Clear milestones include improving losses in new markets and stable UK contribution despite higher taxes.

Global Market Insights

Bet365’s Denise Coates Gets £280m Amid Profit Slump – December 23

ByHuzaifa Zahoor December 23, 2025December 23, 2025

Denise Coates is set to receive about £280m in pay and dividends even as Bet365 profits fell sharply. The private bookmaker reported roughly £4bn in revenue and a 43% drop in pre-tax profit, driven by investment in US expansion and a China exit. With UK gambling tax increases landing from April, pressure on operator margins is set to rise. We explain what the payout, tax changes, and international spend mean for sector risks and investor expectations in Britain.