Gaming group Wembley has announced healthy trading for the six months to 30 June 2004, despite profits being hit by the falling US dollar.

Profitability at the company’s UK gaming business increased by 43 per cent to £2m and average weekly video lottery terminal (VLT) revenue at its Lincoln Park site in Rhode Island, US, was up 14.5 per cent. However, overall Wembley has reported a 9.2 per cent fall in operating profit, from £18.4m in the corresponding period in 2003 to £16.7m – saying the 13 per cent depreciation in the value of the dollar had adversely affected profits by around £2.2m.

The track-based gaming company saw the takeover bid by BLB investors lapse in July and is still waiting for a trial date regarding the Federal Grand Jury investigation into allegations at its Lincoln Park site in Rhode Island.

Wembley’s chair, Claes Hultman, said: “The board and employees of Wembley have put the disappointment of the lapsed BLB offer behind them. The company has good growth prospects in both its US and UK businesses and the board remains determined to confront the issues facing the group, to minimise the risks that it faces and ultimately to find the best solutions for the benefit of both the company and its shareholders.”

Last month, Wembley welcomed a ruling by the Rhode Island Superior Court that a planned referendum on whether a casino could be opened in the state – lobbied for by a consortium including Harrah’s Entertainment and the Narragansett Indians – should not take place.

Lincoln Park generates the majority of Wembley’s revenue and, although a referendum may ultimately take place, the immediate threat of increased competition has been removed.