Formulario

UK – 888 announces another record year

Following the failed takeover plan by William Hill, 888 Holdings has announced record-breaking revenue and pre-tax earnings for the second year running.

For the year that ending December 31, 2014, the group’s overall revenue increased by 14 per cent from $400.5m in 2013 to $454.7m in 2014. Poker revenues plateaued though with $93.6m generated in 2013 compared to $93.7m reported in 2014.

Casino revenue increased by 16 per cent to $220.6m, bingo revenue increased by seven per cent to $46.6m and emerging offering revenue increasing by 22 per cent to $29.9m.

888 Holdings Chief Executive Officer Brian Mattingley said: “2014 was another record-breaking year for 888 during which we again delivered strong growth in revenue and profitability. This outstanding result reflects the fundamental strength of our business and the continued execution of our focused strategy. This is underpinned by our strong brands, exceptional technology and industry-leading marketing systems.

“Our core casino product delivered another outstanding performance reflecting our strength and heritage in this vertical, while 888Poker cemented its position at number two in the PokerScout global rankings at the year end. The outstanding 115-percent revenue growth from 888Sport was an undoubted highlight of 2014 and we continue to see very exciting growth opportunities in this vertical.”

“Trading during the first quarter of the year has been in line with our expectations with significant increases in new customer recruitment as well as increases in deposit level and bet volumes,” Mattingley said. “Average daily revenue during the quarter to date was six percent lower than the previous year, and on a constant currency basis and excluding the impact of VAT, which from 2015 is deducted from revenue generated in certain jurisdictions, the performance was seven percent ahead.
“Whilst the business faces external challenges in the form of Point of Consumption Tax in the UK, VAT in certain jurisdictions and adverse foreign exchange movement from a strong US Dollar, I am confident that the Group is well placed to take advantage of opportunities that regulatory change opens up to companies such as 888.”

888 confirmed it would pay investors a special dividend of 7 cents-a-share, on top of a final dividend of 4.5 cents although it stressed the payment was ‘not compensation for the aborted takeover”’ and it moreover that it was part of the group’s strategy to return excess cash to shareholders.