Gaming firm Tabcorp’s revenue grew by three per cent in the first quarter of the financial year, despite what it describes as tough trading conditions.

Revenue in the three months to September 30 was $503.9 million, up from $488.9 million in the same period in 2012.

Revenue from its wagering business, which operates TAB outlets in NSW and Victoria, was up 5.4 per cent at $385 million.

But after accounting for the Victorian Racing Industry’s (VRI) interest in the business, Tabcorp’s revenue was up just 0.1 per cent.

The company’s share in its joint venture with VRI was reduced from 75 per cent to 50 per cent in August 2012, under new licence terms.

Tabcorp’s media and international business, which operates Sky Racing and Sky Sports Radio, had a 10.1 per cent lift in revenue to $54.5 million.

Keno revenue grew by just 0.4 per cent to $54.1 million, “reflecting the soft retail trading conditions being experienced across NSW, Victoria and Queensland”, Tabcorp said.

“The first quarter revenue growth demonstrates the resilience of Tabcorp’s businesses in tough external trading conditions,” said chief executive David Attenborough.

Tabcorp shares were steady $3.25.