Gambling company evoke plc, formerly 888 Holdings Limited, has reported its financials covering the first half of 2024. According to CEO Per Widerström, the results are “disappointing” and behind the company’s “initial plan.”
Revenue declined 2% year-over-year in H1 2024, totaling £862.0 million ($1.1bn). This drop comes as the company's U.K. retail revenue was down 8% over the same period. In contrast, its U.K. and Ireland online revenue was up 1%, while international revenue remained steady.
At the same time, adjusted EBITDA was down 26% to £116.0 million (149.2M USD). With £72 million ($92.6M) in costs related to the company’s exit from the U.S. B2C market and transformation expenses, the company reported a significant post-tax loss of £143.2 million ($184.2M). In the same period last year, the company reported a loss of £32.5 million ($41.8M).
"As I said in our July trading update, while the financial performance in the first half was disappointing and behind our initial plan, the underlying health of the business is continually getting stronger," commented Widerström. "The corrective actions we have already taken give us even more confidence that our strategic approach is sound and that we will achieve sustainable success.”
Evoke reported a solid cash position of £116 million ($149.2M), with total liquidity nearing £300 million ($386.1M).
Big changes for evoke
Evoke is undergoing several changes this year, including a complete rebrand from 888 and adopting a new strategy to pursue mid and long-term growth. The changes involve an almost entirely new executive leadership team, with nine out of eleven senior executives replaced during the first half of the year.
The company expects the measures to deliver around £30 million ($38.6M) in cost savings by the end of the 2024 fiscal year, including 5 to 9% revenue growth for H2 2024.
“We are completely transforming this business. While the scale of change is significant, it is necessary for us to deliver mid and long-term profitable growth and value creation,” added Widerström.
“We have already taken bold, decisive actions to both instigate a turnaround in short-term trading performance while simultaneously investing into the group’s capabilities to drive step-change value creation and build a bigger, more profitable, more sustainable, and more cash-generative business in the future.”
About evoke
Founded in 1997 as 888 Holdings, evoke plc is an international gambling company that operates brands such as 888casino, 888sport, 888poker, William Hill, and Mr Green. The company entered the U.S. market in 2012, with William Hill becoming the first European gaming operator awarded a full gaming license in Nevada.
A strategic review of the company’s U.S. B2C operations in March led evoke to announce it would fully cease these operations by the end of the year. Later, the company sold its U.S. operations to Caesars Digital, who chose to shut down 888casino and 888poker in New Jersey, instead referring players to Hard Rock Bet.
