Online gambling company 888 Holdings has posted a whopping 50 percent plus decline in H1 profits to June 30. The company reported an adjusted pre-tax profit of US$27.1mln which was US$42.5mln for the same period the previous year.
Despite a huge cut in the profits, there was a moderate decline in 888’s revenues for the first six months. The company’s revenues slipped by only 2 percent year-on-year to US$277.3mln.
Following the dip in profits, the company also slashed its interim dividend by US$0.03 per share from US$0.042 for the previous year.
Itai Pazner, 888’s chief executive, said the group was “confident” and would achieve its year-end targets. He added they are counting on “a number of exciting growth opportunities ahead.”
“The Board continues to believe that 888 is very well positioned for the future as a result of the Group’s diversification across products and markets, product leadership, and first-class team”, the CEO said.
Earlier this year, in May, 888 posted a 6 percent hike in revenue for the period between January 1 to May 18, 2019.
While gambling operators in the UK are suffering from stricter regulations, 888 managed to grow its revenues amidst a sloppy global performance. 888’s revenues from the UK market grew by 23 percent on a like-for-like business in the six months to June 30.
Following the reports revealing the dip in profits, 888’s shares also took a hit.