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Paddy Power and Betfair owner Flutter Entertainment saw revenues double last year thanks to a boom in online gambling, but profits tumbled sharply due to costs associated with its mega-merger with The Stars Group.

Despite the cancellation of sporting events and the closure of its betting shops for large parts of last year due to the pandemic, the bookmaker's sales soared 106 per cent to £4.4billion.

That was down partly to a shift to online gambling, which accelerated during the final few months of 2020 as many countries around the world were plunged into fresh lockdowns.

Online boom: Flutter attracted some 7.6million online players in the last quarter of 2020, with particularly strong growth in the US

The company saw the number of recreational players around the world rise by almost a fifth over the year and attracted some 7.6million online players in the last quarter alone, with particularly strong growth in the US. 

In the UK, 릴게임 the firm's Paddy Power and Sky Betting and 릴게임 Gaming saw average monthly customers grow 36 per cent and 12 per cent in the second half of 2020. 

However pre-tax profits fell 99 per cent to £1million, from £136million in 2019, due to the closure of shops and costs associated with its $12.3billion (£9.3billion) merger with Canadian rival Stars Group that created the biggest betting company in the world by revenue.

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Flutter, which has 620 Paddy Power shops in the UK and Ireland, said that for every month its shops remain shut, it loses £9million.  

Richard Hunter, head of markets at interactive investor, said the results showed Flutter was moving 'at lightning speed' despite the pandemic. 

'For a business to have washed its face after completing two corporate deals, let alone during a pandemic which saw sporting events cancelled during the first lockdown, is a fine achievement,' he added.   

The return of sporting events later in the year - which overall account for 릴게임 62 per cent of revenue - saw growth of 40 per cent in the second half after just 8 per cent in the first half.  

And the momentum seems to be continuing for Flutter, which reported a 36 per cent hike in group revenues for the first seven weeks of the new financial year. 

Susannah Streeter, senior investment and markets analyst at Hargreaves Lansdown, said there remains significant challenges ahead which could slow down the company's growth.  

She says: 'Changes to tax rules in Germany could reduce contributions by £15 - 25million if introduced from July.

'The spectre of much tougher regulation in the UK is also looming over the sector.

Flutter has welcomed the government's gambling review. 

'However, if strict affordability checks to protect problem gamblers are brought in across the board, they could considerably disrupt earnings given that the UK market represents a sizeable chunk of income.' 

Flutter bosses said that they welcome new rules being implemented by the Gambling Commission that will see online slot machine operators limiting the speed of the games, 릴게임 stop using sounds and images suggesting a 'win' when the user has lost, and end the use of auto-play settings.

Chief executive Peter Jackson said: 'Safer gambling is critical to building a sustainable global business and we are determined to lead the industry in implementing the highest standards of customer protection across our markets.

'This includes the UK, where we welcome the Government's review of gambling legislation and support the delivery of a balanced framework that will protect vulnerable customers while allowing the many who enjoy a bet to continue to do so safely.' 

Flutter shares are flat at £143.48 this morning, but they have risen by 74 per cent over the last year.