Boylesports, Ireland's third biggest bookmaker, expects to post an operating profit of €15 million in the current financial year, which would represent a near four-fold increase on 2006.

The strong profit performance is driven by a 20 per cent rise in turnover to more than €600 million for the year to the end of June 2007.

In addition, the company said it had achieved savings from the introduction of new technology in its betting shops while its interest bill has also declined.

Daniel O'Mahony, chief executive of Boylesports, said the company would have "nil borrowings" by the end of the current financial year. "It's a nice position to be in," he added.

Turnover growth has slowed in the current year when compared with the 12 months to the end of June 2006, when the company saw its revenues increase by 38 per cent to €501.7 million.

Mr O'Mahony said a number of new products would be launched over the next six months.

These include a mobile phone betting service, a number of online "skills games" and online bingo.

Boylesports currently has 111 betting shops in its network and Mr O'Mahony said another 20 are in the pipeline.

The Louth-based company does not break down its revenues, but Mr O'Mahony said its network of retail shops account for more than half of its turnover, with telephone and online betting comprising the balance. The company expects the internet to contribute 50 per cent of group profits within five years.

The bookmaker last year launched its first franchised store in Leixlip.

Mr O'Mahony said the pilot was successful and a second franchised outlet would open in Kerry next month.

The franchisee model is a first for Irish bookmaking. Neither Paddy Power nor Ladbrokes, Ireland's two biggest bookmaking groups, use franchisees.