888 Holdings Reports Q4 2023 Trading Update: Achieves Revenue of £424m, Increases 5% from Previous Quarter

In its trading update for the three and 12-month periods ending 31 December 2023, operator 888 Holdings highlights strategic accomplishments and financial insights.

Financial Performance: Q4 2023

Revenue: £424m ($537m), a 7% YoY decrease but a 5% increase from the previous quarter.

Financial Performance: Full-Year FY23

Revenue: £1.71bn, an 8% annual decline due to strategic shifts away from dot-com markets, safer gambling measures, and marketing changes. However, 95% of revenue came from regulated and taxed markets.

Segment-wise Performance

UK Online: Revenue declined 8% to £658m due to safer gambling changes and refined marketing strategies. Adjusted EBITDA increased thanks to ongoing customer engagement and efficient marketing.

Retail: Revenue increased 3% to £535m, driven by investments in gaming cabinets and expanded product offerings.

International: Revenue decreased 16% to £517m due to compliance changes in dotcom markets. However, core markets like Italy and Spain saw double-digit growth.

Operational Highlights

Achieved £150m synergy target savings in 2024, demonstrating successful execution of synergies.

Strengthened executive team with key appointments, including CFO Sean Wilkins and CIO Rik Barker.

Outlook

Anticipating positive outlook for FY24 revenue, expecting growth in active players and improved average revenue per user as compliance and safer gambling impacts stabilize.

Implemented a global cost savings programme of £30m while investing in core capabilities like intelligent automation and AI-powered data insights.

Merger & Acquisition Consideration

Engaged in preliminary talks with DraftKings about a potential acquisition, centered around an all-stock offer at a premium to 888’s market capitalisation.

CEO Per Widerström will unveil evolved strategic plans and new medium-term financial targets in March 2024.

Recent Financial Highlights

H1 2023: Revenue of £881.6m, a 165% YoY increase. Gross profit of £590m, a significant leap from H1 2022.

Share prices have dropped 20% since the trading update, highlighting market response to the report.

Stay updated with 888 Holdings’ latest developments.

Leave a Reply

Interested in our Domains?


    Interested in our Solutions?


      Contact