CEO of Ladbrokes on shaky ground?

 Following the news last week from Ladbrokes of their full year profits warning, rumours were circulating over the weekend that the second largest UK bookmaker may be parting ways with their CEO.

Richard Glynn was reported to be under pressure from the Ladbrokes board following last week’s forecast that results for the year would be considerably lower than forecasted. Indeed the warning on results is the second revised estimate from the company in 3 months.

The news triggered a drop of over 8% on shares in the company, with Chairman Peter Erskine saying  “investors were not thrilled with the news but had been supportive.” That normally means there is trouble ahead for someone in the company.

To increase speculation that Richard Glynn is on borrowed time the chairman continued, “We remain fully confident in this management team.” If that was a football club the manager would already be packing his bags ready for the bullet.

The main trouble for Ladbrokes is their online business that is trailing badly behind main rival and the UKs number one bookie William Hill.

Mr Erskine said ‘While we are disappointed that the digital results are still not where we anticipated they would be, the board believes the strategy is the right one and that the actions taken to date, along with those planned for the coming months, will drive the long-term success of the business.’

There are those analysts that believe Mr Glynn will be given more time in his role to turn around the companies online and land based business. Next year is the football world cup and the company believes by then their fortunes will turn around.

Recently Richard Glynn said to the Mail newspaper, “‘I’m a big boy,’ he told the newspaper in a recent interview. ‘Big enough to accept as chief executive where that leaves me.’

The pressure is on the CEO of Ladbrokes, will he last till the world cup in 2014, many believe his odds are evens at best.