(Alliance News) - 888 Holdings PLC on Tuesday reported a fall in revenue amid enhanced UK gambling laws and the closure of its Dutch business.
In the three months to September 30, the Gibraltar-based bookmaker said revenue fell 7.2% to GBP449 million from GBP484 million a year before. Among divisions, 888 revenue was down 5%, while William Hill revenue was down 14% in UK Online, down 12% in International Online and flat in retail.
888 completed the acquisition of the non-US businesses of William Hill back in July.
For the nine-months to the end of September, revenue totalled GBP1.39 billion, down 3.1% from GBP1.44 billion.
Looking ahead, 888 expects fourth-quarter revenue to be bigger than the just-posted figures and similar to the fourth quarter of 2021.
"Revenues during the third quarter continued the trends we have seen in recent quarters, with relatively resilient trading across our main international markets and in our retail estate, but continued pressure on our UK online revenues in light of the ongoing impact of the enhanced player safety measures. We are changing the mix of our business to a lower spending, more recreational player base that gives us confidence in the long-term potential for our UK business," said Chief Executive Officer Itai Pazner.
Back in October 2021, regulatory changes from the Dutch Gambling Authority came into effect. As a a result, 888 "took the decision to cease provision of services in the Netherlands".
At the time, it said the timing of any licence award in the Netherlands "remains unclear".
In March, the UK Gambling Commission said it issued a GBP9.4 million fine for 888 UK Ltd as it found "social responsibility and money laundering failings". One of the responsibility issues was 888 giving a customer on a GBP1,400 per month salary a monthly deposit cap of GBP1,300, the commission said.
888 shares were 4.5% lower at 86.15 pence each in London on Tuesday morning.
By Tom Budszus; tombudszus@alliancenews.com
Copyright 2022 Alliance News Limited. All Rights Reserved.
888 Holdings (888)