Greek taxes take big bite out of OPAP profit

Greece’s biggest betting firm OPAP was hit by higher taxation and lower revenues in the first quarter, with net profit dropping by 26.3 percent.

OPAP, which is majority-owned by a Czech-Greek fund, said on Monday net profit was 42.8 million euros, down from 58 million euros in the same period a year ago.

Greece has retroactively increased taxation on gross gaming revenues that OPAP has generated since the start of the year, as part of additional austerity measure the country is taking in exchange for fresh loans under its international bailout.

The company has paid a total dividend of 0.40 euros a share on 2015 results.

It announced on Monday it would pay an additional dividend of 0.57 euros a share from retained profits from previous years.

Soft consumer spending as a result of the six years of austerity Greece has implemented in turn for bailout cash has also taken a toll on OPAP’s profit.

OPAP’s gross gaming revenues stood at 340.7 million euros in the first three months of the year, a 4.4 percent annual drop, and are taxed at a 35 percent rate, a 5 percentage-point rise compared to last year.

[Reuters]