Shareholders of 888 Holdings the company that owns and operates the 888 online casino and iGaming brands, have seen their shareholdings increase substantially in value this morning, after the company posted strong half year results for 2020.
In an announcement to investors and the London Stock Exchange where the company is listed, 888 Holdings forecast annual profits for the year to meet prior expectations for the year, with the company also announcing a special dividend payment to shareholders as a result.
Shares in 888 Holdings this morning jumped as much as 25% up on the previous day closing price, rising to at one point 261 pence per share in early trading on Wednesday. The special dividend announced by the company will see shareholders awarded a dividend payment of US$2.8 cents per share along with an interim dividend of US$3.2 cents per share.
Commenting on the results, 888 Holding’s Chief Executive Officer Itai Pazner stated: “888 has performed very well throughout the first half of 2020 with robust year-on-year growth in revenue and Adjusted EBITDA of 37% and 56% respectively.
“This outcome reflects the Group’s continued strong levels of customer acquisition, general consumer trends towards increased use of online services especially during the COVID-19 lockdown period and 888’s relentless focus on product leadership.”
“We recognised early on that the COVID-19 pandemic would have a material impact on the lives of our customers across many global markets and this required an appropriate response from 888. We were therefore quick to increase our vigilance on safe gambling and preventing gambling-related harm.”
“We are pleased with our continued progress in the US where revenue increased by 90% year-on-year reflecting the Group’s outstanding B2C growth in New Jersey as well as strong performances from our B2B partners. We remain excited by the potentially significant medium-to-long-term opportunities for 888 in the US market.”
“888 is looking forward to delivering further product enhancements including the introduction of our new poker product across markets during H2 2020 and the launch of our proprietary sportsbook in the UK early next year. In addition, we are continuing to invest in safe gambling tools and will begin the roll-out of a new customer-centric safe gambling feature called the ‘Control Centre’ later this year that will offer customers an improved interface to help them understand better their gambling behaviour.”
“As a result of the Group’s continued momentum, as well as its strengths as a product-centric, responsible and diversified operator, the Board believes that 888 has a unique platform to deliver continued strategic progress during H2 and beyond.”