Shares in Britain's largest casino operator, Stanley Leisure, have surged 6.4 per cent.

Market fears were calmed after the group, which owns Brighton International in Preston Street, Brighton, produced a modest profit for the year.

In May the gaming firm warned full-year results could be worse than the previous year because too many gamblers were striking lucky.

But the company eked out a one per cent rise in pre-tax profits to £41.8 million in the year ending May 2, on turnover up 67 per cent to £1.66 billion.

Chief executive officer Bob Wiper said: "We're pleased to be ahead of the prior year. We've got a figure at the top of forecasts."

Brokers and analysts raised their rating on the stock from "reduce" to "hold", with some recommending a "buy".

One said: "Basically the stock has been oversold on nervousness that has proved to be unfounded."

Mr Wiper said: "It was a good year of results running in our favour rather than the punters'."

In July 2002 Stanley acquired the International Casino Clubs in Brighton and Luton for £8.1 million.

This left its chain of casinos numbering 35.

Thursday July 22, 2004