🔒 🔒 ‘Leaning in aggressively’ – Tabcorp all-in as national tote launch nears

Tabcorp aims to use the boost from the introduction of the national tote to end the long-term decline in its racing turnover, including a 5 to 6-six per cent annual decrease in parimutuel pools.

Chief executive Gillon McLachlan confirmed in his address after the release of the annual report this week that a launch of the national tote was imminent, with regulatory approval in NSW via Liquor & Gaming NSW the final step before it begins.

McLachlan set out the national tote’s importance to Tabcorp’s ambitions to revive racing, as it aims to remedy the “drag” parimutuel is causing on wagering revenue for the publicly listed betting giant.

He revealed that while racing turnover declined 1.1 per cent in the 2025/26 financial year, fixed odds revenue grew, while parimutuel continued its long-term downward trend.

The contribution of tote betting to Tabcorp’s revenue has slumped from 50 per cent in 2021/22 to around a third of revenue in the most recent financial year.

When asked whether racing turnover could return to growth, McLachlan said that was the aim and that Tabcorp would pursue the increased opportunity through fully national parimutuel pooling “aggressively”.

“A third of our business is roughly parimutuel, and that’s been in decline by 5 per cent or 6 per cent year-on-year, and FY26 was no different,” he said.

“Clearly then the strategic imperative around the national totes and the opportunities is you give that context with the numbers.

“We see as the advantages of a national tote, which is clearly greater liquidity, clearly the opportunity to have jackpot-style products, a simplicity in the way it’s presented, a focus on its link to internationals as turning a light on something which has obviously been a drag on our business for some time.”

Reviving wagering market share, which has fallen from 85 per cent to 78 per cent over the past three years, is seen as a key opportunity, especially with the heavy investment in retail.  

“When it’s a third of our business and we’ve been in sort of 6 per cent decline, every percentage point of decline that we arrest, obviously it’s important for us,” he said.

“We’re leaning in aggressively.”

McLachlan also hailed the pending creation of a national tote as a significant milestone for the industry.

“The industry has tried and failed many times to create a national tote and this group has achieved it,” he said.

“I’m pleased to share the national tote will launch early in the spring carnival. A merged pool will increase liquidity for punters and create greater price stability.

“The next step will be product innovation. We’re focused on creating more jackpot-style bet types and products exclusive to tote.”

“There’ll also be new opportunities for global pooling.”

Final approval from Liquor & Gaming NSW is expected within weeks, with a launch likely soon after and timed around the spring racing carnivals in Sydney and Melbourne.

It is understood that the technical solutions are already in place.