British bookmaker 888 Holdings said on Tuesday it expects its annual revenue decline to be within its forecast, targeting a slow recovery in the Middle East.
The company reported a 7% drop in first-half revenue to 881.6 million pounds ($1.12 billion), missing JPM analysts’ forecast of around 899 million pounds.
888 Holdings, however, maintained its earnings outlook and said it would make decisions related to its 2022 acquisition of William Hill‘s non-U.S. assets a year earlier than planned.
“We now expect to make adjustments of £150m in 2024,” said Chief Executive Jonathan Mendelsohn.
The company, which owns 888casino, 888poker, 888sport and other brands, said its UK revenue had been affected by efforts to improve player safety.
While the group also saw a slower-than-expected recovery in its Middle East business.
The company had to suspend its VIP operations in the Middle East in January during an internal investigation into compliance with market regulations.
In addition, the group predicted a £25m to £30m rise in revenue from the suspension in April. Shares fell 4%.
888 Holdings in the UK
888 last month appointed a new CEO after ignoring a call from its second-largest shareholder, FS Gaming, to nominate its candidates for key posts that prompted the UK Gambling Commission to launch a review of the UK gambling company’s licenses. United.
Pressure from FS Gaming on former GVC, now known as Entain, to have their suggestions accepted to the 888 board could have forced the company out of its biggest market.
However, 888 Holdings said it did not expect any operational impact from the ongoing license review by the UK gaming regulator.
The company reported an adjusted basic profit of £155.6m, up 9% on the previous year.
