A number of big wins at Stanley Leisure’s flagship Crockfords casino have all but wiped out the profits made by the group’s betting shops; knocking annual pre-tax and goodwill profit growth down to just 1 per cent.

Despite turnover growing 67 per cent to £1.7bn from £993m in 2003 – mainly due to an 80 per cent increase in betting turnover to £1.5bn – profit before tax and goodwill was hit by Crockfords’ reduction in profitability, falling to £1.6m from £15.9m in 2003.

After goodwill payments – including £4.6m impairment of the balance of the goodwill arising from Stanley’s internet gaming acquisition in 2000 – pre-tax profits were down 10 per cent to £35.4m from £39.5m.

Stanley’s chair, Lord Steinberg, said: “Undoubtedly the past year has been one of peaks and troughs. We would have liked a few more peaks and a few less troughs, but we have managed to achieve a creditable performance, despite considerable fluctuations in business and in profitability during the period.”

Stanley Leisure operates 37 provincial casinos and four in London as well as a portfolio of more than 600 betting shops.