Horse flu saps Tabcorp earnings

Australian gaming group Tabcorp Holdings said on Thursday first-half profit fell 3%, hit by an outbreak of horse influenza, and said it faced tougher trading conditions. The company's shares advanced 7.2%, or $1.01, to close at $14.98.
Tabcorp said normalised net profit for the six months to Dec. 31 was $261.9 million from $270.3 million a year earlier.
Three analysts on average were expecting a profit of around A$251 million for the company, which owns some of Australia's biggest gambling operations, including Sydney's Star City casino, TAB wagering and Keno games.
Tabcorp said in November that the outbreak of horse influenza in August that disrupted Australian horse racing would cut its pre-tax earnings by about $30 million. It had previously forecast little growth in 2008.