888 Forecasts Earnings Significantly Ahead of Previous Expectations

888 Holdings has announced that adjusted earnings before interest, tax, depreciation and amortisation (AEBITDA) for 2020 will be ahead of previous expectations following a strong year-to-date trading performance.

Shares in the company were up 11% at 168.00 pence each in London, one of the best performers in the FTSE 250 index.

The company said that the average daily revenue in the year-to-date is 34% higher than the prior year, which is due to an increased level of customer acquisition during H2 2019 and the structural shift towards online gaming accelerated by the Covid-19 pandemic during recent months.

“We are pleased with 888’s trading during the year-to-date which has resulted in the board now anticipating that adjusted Ebitda for 2020 will be significantly ahead of its prior expectations. This performance builds on 888’s strong customer acquisition during 2019 and our continued focus during recent years on entertaining a greater number of recreational customers,” Itai Pazner, Chief Executive of 888 Holdings, said.

“888 is well positioned to continue to benefit from a potential long-term shift towards online services that we have seen accelerate across several consumer industries during the COVID-19 pandemic,” Itai Pazner added.

Gibraltar-based 888 said despite the encouraging trading momentum it remains “mindful” of possible headwinds in the second half of the year, including the potential for a period of prolonged global economic uncertainty that could hurt discretionary spending by consumers.