Rank Group reports €7.1 million payment fraud linked to Spanish business

Rank Group has reported a €7.1 million ($8.2 million) payment fraud affecting its Spanish operations to the authorities, while also initiating an internal investigation to determine how the incident occurred.

The company confirmed that the fraud is connected to its Spanish-facing brands Yo and Enracha, which operate across bingo, electronic casino and slots, sports betting and entertainment. Given the size of the loss, Rank said the impact will be treated as an exceptional item in its financial results for the 2025–26 reporting period.

News of the incident weighed heavily on investor confidence, with Rank’s shares falling sharply in early trading following the announcement. Although the operator has not disclosed further details about the nature of the fraud or how long it may have gone undetected, it stressed that it is fully cooperating with authorities and reviewing its internal safeguards.

“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,” Rank said in a statement.

The fraud comes at a time when the operator is already navigating mounting pressure from regulatory and tax-related changes across its core markets. Among these is the increase in the UK’s Remote Gaming Duty, which Rank has previously warned would have a material impact on group earnings.

Earlier this year, the company said higher remote gaming taxation would significantly affect profitability, although some of the impact is expected to be offset by the abolition of bingo duty. Even with those mitigating factors, Rank had already guided to a substantial net annual effect on earnings.

In its latest quarterly trading update, Rank reported mixed performance across its Spanish business in the three months to 30 September. Digital brand Yo recorded a 1% year-on-year decline in net gaming revenue, which the group attributed to platform capacity constraints.

Rank said these issues are being addressed through the rollout of a new bingo platform and added that it expects Yo to return to growth in the quarter ending 31 December.

By contrast, the nine Enracha land-based venues in Spain delivered a 5% increase in net gaming revenue during the same period.

Across the group as a whole, Rank reported a 9% year-on-year rise in net gaming revenue to £210.2 million. Digital net gaming revenue increased by 13% year-on-year to £61.6 million.

The disclosure of the fraud follows a recent leadership change at the company. John Ott took up the role of chairman on 17 November, having previously served as group strategy and M&A director at Barclays Bank. He replaced Alex Thursby, whose departure was confirmed by Rank in September.

By fLEXI tEAM