In 2018, 888 Holdings saw a minor decrease in revenue, generating $5.299 billion compared to the preceding year. The firm ascribed this to heightened rivalry and regulatory shifts within the internet gaming sector.
During an exclusive dialogue with Gambling Insider, Itai Pazner, who assumed the role of 888’s CEO from Itai Frieberger in January, conceded that the 2018 outcomes were underwhelming.
888’s financial statement underscored that the downturn was chiefly propelled by a substantial fall in earnings from their business-to-consumer (B2C) poker offerings, which plunged by 37% to $49 million. Moreover, B2C bingo revenue also witnessed a decrease, shrinking by 17% to $32.4 million.
Nevertheless, there were bright spots for 888. The FIFA World Cup provided a welcome surge, contributing to a 6% upswing in B2C sports wagering revenue, which reached $80.3 million. Their primary B2C casino product also fared well, experiencing an 8% climb in revenue, attaining $3.176 billion.
On the whole, 888’s adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) displayed positive expansion, rising by 6% to $1.071 billion. Furthermore, their adjusted profit before tax saw an 11% leap, hitting $86.7 million.
CEO Pazner maintained a hopeful outlook, remarking, “Despite obstacles in certain segments of the business, 2018 yielded a strong financial performance, and we attained record EBITDA.” He further stressed, “The group delivered sustained expansion across several regulated markets, primarily fueled by positive momentum in casino and sport.”
Notwithstanding these encouraging takeaways, the market responded cautiously, with 888’s share value undergoing a slight increase following the disclosure.
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