Rank Group the parent company of Mecca Bingo and Grosvenor Casino chains sees like-for-like sales up 3 percent, earnings per share at the top end of the city estimates but claims the outlook for 2011 remains challenging.

The gaming giant said that analyst estimates for adjusted EPS were 9.5 pence to 9.8 pence, with a mean average of 9.6 pence. The company expects the actual results to be at the top end of the forecasts for 2010; however the company remains cautious for 2011. A company statement said: "The outlook for 2011 remains challenging with the increase in the standard rate of VAT and public-sector redundancies likely to have a negative effect on consumer sentiment in Great Britain,"

The UK based company said that like-for-like revenues for the nine weeks ending 5th December showed a 3 percent gain. For the 49 weeks revenues were up 7 percent or 4 percent on like-for-like revenues which was helped by strong trading in the Grosvenor Casino sites.

In October, Rank said its full-year performance would be around the top of analysts' forecasts after all its businesses improved during the third quarter.