UK-listed gambling operator Ladbrokes Coral Group turned in a mixed Q3 trading update, and analysts are warning of further challenges ahead.

On Monday, Ladbrokes Coral reported overall revenue rising 3% year-on-year for the four-month period starting July 1 and ending October 29, as strength in some online brands and in European retail operations overcame declines at Ladbrokes’ online operations and UK retail shops.

On the positive side, overall digital revenue improved 12%, with sportsbook revenue rising 18% and gaming up 6%. The Coral.co.uk site showed a 13% revenue rise, while Galabingo.com improved 10%. Galacasino.com was forced to pay out a £1m progressive slots jackpot during the period, reducing the overall Gala digital revenue gains to 3%.

Ladbrokes’ Australian online sports betting operations saw stakes rise 41% and revenue improve 50%. The Italian-facing Eurobet.it site was also in fine form, with stakes up 35% and revenue up 36%.