Rank Group has reported a payment fraud incident in its Spanish operations amounting to €7.1 million ($8.2 million). The company has notified law enforcement agencies and is conducting an internal investigation in response to the fraud affecting its Spanish brands, Yo and Enracha, which provide bingo, electronic casino and slots, sports betting, and entertainment services.
Because of the fraud's scale, Rank plans to classify it as an exceptional item in its financial results for 2025-26. Following the announcement, the company’s shares experienced a sharp decline in early trading. Although further details on the nature of the fraud have not been disclosed, Rank confirmed its full cooperation with authorities while it reviews internal controls.
"The group has reported the matter to the relevant law enforcement agencies and is supporting their investigations, as well as carrying out its own internal investigation with the help of an external law firm," stated Rank in its announcement.
This incident adds to the company's existing challenges from regulatory and fiscal changes, particularly with the increase in Remote Gaming Duty in the UK, which Rank had noted would significantly affect group earnings. While the impact is expected to be somewhat mitigated by the removal of bingo duty, the company anticipates a notable net effect on annual profitability.
In its latest quarterly update, Rank disclosed mixed results for its Spanish operations for the three months ending 30 September. Yo experienced a 1% year-on-year decline in net gaming revenue due to platform capacity issues, although the company is addressing these with a new bingo platform and expects to see growth in the quarter ending 31 December. In contrast, the nine Enracha venues in Spain achieved a 5% increase in net gaming revenue during the same period.
Overall, Rank's net gaming revenue rose by 9% year-on-year to £210.2 million, with digital net gaming revenue surging 13% to £61.6 million.
The fraud report comes just a month after John Ott took over as Rank’s new chairman on 17 November, succeeding Alex Thursby, whose departure was announced in September.
