Online operator 888 has reported strong momentum in casino and sports within Europe, despite feeling the squeeze in the UK, in its latest set of financial results.
Casino revenue was up overall by 10 per cent to US$161m, compared to the first half of 2017’s figure of $146.7m. Sport revenue was up by 11 per cent to $37.5m (H1 2017: $33.7m).
Without the UK, where 888 said its new customer protection measures have harmed revenues, casino and sport revenues were up 24 per cent and 34 per cent respectively, with the main momentum in regulated markets provided by Spain and Italy.
Overall group revenue was up one per cent to $273.2m, from $270.1m, while adjusted EBITDA for H1 2018 was $52.4m compared to $47.6m in H1 2017.
An increase in B2C customers and healthy deposit levels were reported, with revenue from regulated markets making up 70 per cent of group revenue.
Recently, the group has made significant moves in the US, including launching 888Sport in New Jersey, pooling poker players across three regulated states, signing a two-year deal with the Delaware Lottery and extending a contract with sportsbook provider Kambi to include the American market.
Itai Frieberger, CEO of 888, said: "We are pleased with 888's performance during the first half of the year which has resulted in further progress against the group's strategic objectives. 888 has continued to focus on enhancing compliance and customer protection, delivering growth in regulated markets and exciting product innovation.
“We have maintained strong momentum in casino and sport, particularly in continental European markets. In the UK, we are pleased to report that since the period end we have started to see positive trends in revenue. This follows the proactive and prudent customer protection measures that we have implemented over the last 18 months which have adversely impacted revenue.
“The board continues to believe that 888 is very well positioned for future growth underpinned by our diversification across products and markets, technology leadership and a first-class team. Trading during the second half of the financial year to date has been in line with the board's expectations with average daily revenue excluding the UK six per cent higher year on year, four per cent lower overall and an encouraging nine per cent increase in group new customers acquisition. We have several exciting growth opportunities ahead and the Board remains confident that the profit outlook for the full year will be in line with market expectations."
