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Jeffrey Hutton is a Morningstar contributor.

Gaming and wagering company Tabcorp Holdings' (TAH) half-year earnings fell less than expected, as demand for new products helped cushion the impact of one-off costs linked to splitting from its casino business Echo Entertainment (EGP) last year.

Tabcorp's first-half net profit fell 29 per cent to $189.3 million. Many analysts had expected profit to total $181 million for the six months ended December. The result included $113 million in one-off expenses linked to the demerger.

Demand for fixed-odds betting and relatively low priced gaming and wagering has helped buoy the company's businesses, even as consumer sentiment falters amid signs of slowing economic growth and rising unemployment, said David Attenborough, Tabcorp's chief executive officer.

"Each of our businesses is performing well in its respective markets despite the economic uncertainty and challenges experienced by retailers," Attenborough said.

"We expect a continued trend towards fixed-odds betting, and Tabcorp is ideally placed to lead this market."

The company beat analyst expectations on almost every measure.

Tabcorp declared a fully franked dividend of 13 cents, compared with 12 cents estimated by Goldman Sachs.

Earnings before interest, tax, depreciation and amortisation rose 6.4 per cent to $383 million, versus consensus estimates of $374 million, Goldman Sachs analysts said.

Wagering underlying earnings climbed 7.4 per cent to $169 million, media earnings rose 8.3 per cent to $33 million, while income from Keno jumped 13 per cent to $33 million.

The only segment to disappoint was gaming where earnings rose 3.5 per cent to $148 million, compared with Goldman's estimate of $151 million.

Goldman analyst Adam Alexander called the earnings a "solid result".

Shares rallied more than 3 per cent after the result was announced on Thursday, after losing about 20 per cent of their value over the past year as wet weather, regulatory changes and fading consumer sentiment curbed demand for gambling.

Tabcorp is seeking compensation for its loss of rights over Victorian poker machines from August this year.