888 Holdings posts FY22 and Q1 2023 trading update

888 Holdings, one of the leading betting and gaming firms internationally, has posted its FY22 results along with a Q1 2023 trading update. The results focused on the entire year ending on December 31, 2022, and the first three months of the new year, which ended on March 31, 2023. Overall, 888 Holdings was happy with the results, with its numbers largely in line with previous forecasts.

Group revenue in FY22 stood at £1.23bn ($1.53bn) with the firm’s adjusted EBITDA increasing to £217.9m ($270.7m). The firm offered an update on the previously raised concerns about specific failures regarding 888 Holdings’ compliance and responsible gambling practices in the Middle East.

The company acknowledged the failings and described the shortcomings as disappointing. In a statement issued by 888 Executive Chair Lord Mendelsohn, the company explained that its enhanced proactive risk management framework had proven of particular importance to the company’s long-term strength.

Lord Mendelsohn hailed the recent success that was the finalization of the acquisition of William Hill assets, which had had a transformative impact on the group’s operations. 888 remains focused on driving higher profitability as it pursues clear strategic priorities, the statement continued. 888 has also informed investors about its current C-level plans.

The company is currently looking for a new Chief Executive Officer while Lord Mendelsohn is serving as Executive Chair on an interim basis. Meanwhile, Chief Financial Officer and Executive Director Yariv Dafna will remain in his position with the company and retire after the end of 2023.

Touching on the Middle East investigation again, 888 Holdings was confident that thanks to the completed probes, the company was now able to restart its operations in the region and continue with the onboarding of new customers from that specific geography.

888 Holdings also addressed the record settlement it had to negotiate with the UK Gambling Commission estimated at £19.2m ($23.73m). 888 reminded investors that the period of the infringements targeted by the regulator concerned a period of time when these assets were not yet part of 888’s portfolio.

In the latest trading update, 888 assured that it expected no further revenue repercussions as a result of this settlement, the highest the UKGC has ever issued. Overall, on the day of the announcement of the update, the company’s shares jumped by 20%, a clear signal that investor trust has been restored.

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