Gambling operator 888 Holdings released information about its financial performance during the first half of 2015. Like-for-like revenue, or the proceeds generated excluding the newly introduced EU VAT, rose 9% year-on-year to reach $244.9 million. Reported revenue amounted to $220 million, down 2% year-on-year.
Like-for-like B2C revenue totaled $213.6 million, up 11%. Reported B2C proceeds dropped 1% during the reviewed period to reach $191.1 million. Including EU VAT, casino operations generated $108.7 million, up 1% year-on-year. Proceeds from poker decreased 4% to $46.2 million. Bingo operations posted revenue of $22.6 million for the period in review, down 6%. Revenue from emerging offering increased 41% to $18.5 million.
B2B like-for-like revenue posted a 3% decrease to $31.3 million. Reported B2B revenue amounted to $28.9 million, down 10% as compared to the figures reported for the same period a year ago. The decrease was mainly attributed to adverse currency movements.
Adjusted EBITDA amounted to $40.9 million, down 17% year-on-year. The company defined the result as impressive given the recently introduced Point of Consumption tax in the UK and the EU VAT.
Profit before tax totaled $20 million, down 41% as compared to the $34 million reported for the same period a year ago.
As of June 30, 2015, 888 had 19.2 million real-money registered gambling customers, which represented a 7% increase from December 31, 2014. The company said that its sport division posted revenue growth of 81% attributed to its improved sport product offering.
In addition, 888 said that it managed to increase its market share in Spain following the success of the recently introduced slots. In Italy, the gaming company launched fresh casino product offering. In the US, continued progress was reached due to the introduction of the so-called Multistate Poker Network in Delaware and Nevada.
Brian Mattingley, Executive Chairman of 888, said that they are delighted with the company’s “encouraging performance” during this year’s first half. Mr. Mattingley noted that they are optimistic about 888 meeting its full-year expectations due to its “strong operational momentum.”
The gambling company is determined to deliver long-term and sustainable growth and to continue developing its business.
In July, 888 announced its bid for rival gambling operator bwin.party digital entertainment plc. The latter company’s shareholders approved the offer but the transaction has not been completed yet. 888 valued bwin.party at £898 million.
Yet, gambling company GVC Holdings recently proposed to pay £1.1 billion for its rival. Although 888’s bid was backed by shareholders, there are ongoing talks regarding the latter offer. More information is to be revealed anytime soon.
