Youbet.com Businesses Shatter Records for Kentucky Derby Wagering Volume
biz.yahoo.com
Tuesday May 9, 8:30 am ET
Race Day Wagers at Youbet and IRG Surge 34% and 280% Respectively Over Last Year
WOODLAND HILLS, Calif.--(BUSINESS WIRE)--May 9, 2006--Youbet.com, Inc. (Nasdaq:UBET) announced today that the company and its IRG and United Tote subsidiaries shattered all previous records for betting volume on May 6, 2006, the day Barbaro streaked to victory in the 132nd Kentucky Derby at Churchill Downs.
Youbet.com processed nearly $5.6 million in wagers on Derby Day, a 34% increase over 2005 and the fourth year in a row that bettors drove Youbet's handle to the highest one-day total in company history. United Tote processed a record $175.0 million in wagers for the full day's race card at Churchill Downs.
International Racing Group (IRG) handled $4.3 million in live operator assisted wagers on race day, 69% of which went to the Churchill pari-mutuel pools.
2006 v. 2005 Handle
132nd Kentucky Derby Day
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Youbet IRG United Tote
(millions) (millions) (millions)
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2006 % 2006 %(a) 2006 %(a)
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Derby Day Derby Day
All Sources $5.6 +34 $4.3 +280 Merged $175.0 +14
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Churchill
12-Race Card $3.7 +32 $3.0 +222 On-Track $26.2 +16
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(a) IRG and United Tote were acquired by Youbet after May 2005,
and these approximate percentage increases are based on the prior
year's unaudited figures for these two companies.
"Our race day performance -- online and in our new live operator and totalizator channels -- was extraordinary," said Youbet CEO Charles F. Champion. "Our online product attracted thousands of new customers and millions of additional handle. Our marketing initiatives delivered exceptionally strong results as younger audiences (ages 21-40), in particular, found the online wagering environment to their liking. Our phone wagering spiked and United Tote processed the highest single day of handle in the history of U.S. horse racing. It was a very satisfying day for each of our companies."
Youbet contributed $3.7 million to Churchill Downs' pari-mutuel pools on race day, an increase of 32% over the previous year. The increase compares favorably to the track's own race day handle improvement of 14% from all sources. More than 98% of Youbet's handle for the Kentucky Derby came from outside Churchill Downs' source market area.
Youbet's record results benefited from an aggressive marketing effort designed to take advantage of the public's interest in the Kentucky Derby. As a result, Youbet signed up more than 6,000 new customers in the two days leading up to Barbaro's commanding Derby victory on Saturday afternoon. More than 20% of the new customers were converted from Youbet.net, the company's recently deployed educational play-for-points website.
In addition to record handle, Youbet took in a record $1.7 million in customer deposits on race day, 23% higher than last year. For Derby week, deposits were at their highest funding level ever, up 25% compared to 2005.
United Tote's Derby Day totals marked the 13th consecutive year of handle growth for the company. On-track bets rose 16% over race day last year. The company has more than 1,600 terminals deployed at Churchill Downs to process wagers. |
