Online gambling group 888 Holdings Plc has projected COVID-19 related disruptions would affect the company’s 2020 EBITDA results with a ‘single $digit million impact.’
Yesterday, 888 was forced to delay the release of its 2019 results in compliance with an FCA order sanctioning a two-week freeze on the release of results by listed firms.
Updating investors Tuesday morning, 888 reported that 2019 momentum continued into the early months of 2020 trading, where ‘the group has traded well and in line with the board’s expectations with average daily revenue 18% above the comparable prior year period.’
Before the COVID-19 crisis, 888 outlined solid topline metric growth across their B2C casino and sports verticals, with each segment recording a 24% rise in daily sales, citing rises in player acquisition (+ 20%) and average daily deposits (+ 32%).
Mirroring industry peers, 888 governance said full-year guidance operating in a time of’ global macro-economic uncertainty’ is hard to foresee.
The postponement / cancellation of sporting events by COVID-19 would mainly impact the smaller 888Sport unit of the organisation, which produced 16 percent of the group’s revenues in 2019.
888 explained: “Should severe disruption to global sporting events continue until September 2020, the board estimates a potential impact on group EBITDA in the current financial year of up to high single-digit millions of dollars.”
Operating in unpredictable times, 888 emphasised that the company would optimise watchfulness through its verticals for safer gambling procedures.
Eventually, 888 detailed trust in overcoming COVID-19 headwinds as a’ purely online company’ with a diversified geographical footprint, underpinned by complete control of its proprietary technologies through its portfolio of brands.