Gambling giant 888 says revenue down 10 per cent as new regulations hit hard
Betting giant 888 said its betting and gaming revenue dropped in the UK and Ireland as stricter new laws come into play.
Shares in the William Hill owner dropped as much as 2.6 per cent on Wednesday after it reported betting and gaming revenue of £157.2m in its third quarter results, down 10 per cent from the same period last year.
It blamed this on the impact of the government’s new gambling regulations and a more discreet marketing strategy.
The government introduced its gambling white paper in April this year, including a statutory levy and stricter checks on losses.
UK football and other popular sports also disappointed with “lower-than-expected” betting net win margin.
But active monthly users rose 17 per cent in the third quarter to 1.19m.
New chief of 888, Per Widerström, said: “I am happy to note that despite the regulatory challenges the Group has faced this year, the hard work by the team is already showing signs of results meaning that we head towards the end of the year with positive momentum, and well placed to grow in the coming years.”
888 appointed Widerström as boss six months after its former head stepped down amid a money laundering probe at the gambling giant.
The company said it is “prioritising the safety and wellbeing of the Group’s more than 500 colleagues in Israel and their families following the outbreak of war post Period end.
“Activated business continuity plans, which are working well with no significant impact on business operations expected.”