(Alliance News) - 888 Holdings PLC said Tuesday its third quarter was "outstanding", with trading in line with internal expectations.
Gibraltar-based 888 offers online betting and gaming.
Total revenue in the three months to September 30, increased 6.6% to GBP229.9 million from GBP215.6 million. B2C Gaming revenue was up 11% to GBP193.5 million, but B2C Betting revenue dropped 15% to GBP26.8 million. B2B revenue was up 4% to GBP9.6 million.
Gaming revenue growth was driven by casino games - which 888 said benefited from continued investment in improving its user experience through AI-driven personalisation. Betting revenue was down against a strong comparator, 888 noted, due to a condensed sports calendar in the same period the year before.
"The third quarter of 2021 was a period of outstanding strategic progress for 888. During the period we announced the transformational acquisition of William Hill International, successfully launched SI Sportsbook in the US, and began operating 888sport under a new licence in Germany as we continued to execute our plan to build a global online betting and gaming leader," Chief Executive Itai Pazner said.
"Alongside these important strategic milestones, I am pleased with the group's continued positive trading, particularly as we lap very tough comparative periods. This performance reflects the continued success of our data-driven investments and execution against our product-leadership plan that delivers ongoing improvements in the usability, quality and safety of our sports betting and gaming products."
Less positively, 888 noted it was forced to stop production in Netherlands following policy changes by the Dutch Gambling Authority.
"The group continues to believe the Netherlands represents an attractive medium-term opportunity and intends to apply for a local licence in the coming months. Notwithstanding this unforeseen development within the Netherlands, the board remains confident that the performance of the group during the current year will be in line with its expectations," 888 said.
The temporary closure is expected to hit earnings before interest, taxes, depreciation and amortization in 2022 by EUR10 million but has not changed its 2022 expectations.
Shares in 888 Holdings were down 2.5% in London on Tuesday morning at 405.44 pence each.
By Paul McGowan; paulmcgowan@alliancenews.com
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