Betting Company 888 Lowers Profit Expectations Following Tough Q3
In a turbulent third quarter, betting giant 888 Holdings has faced a 10 percent decline in revenue, prompting a revision of its annual profit projections. Tighter regulations in the UK and unexpected customer-friendly sports results are among the factors impacting the company's performance.
Regulatory hurdles and a streak of favorable sports outcomes have contributed to 888 Holdings' Q3 troubles. In summary:
888 Holdings now anticipates its fiscal 2023 adjusted core profit margin to be around 18-19 percent, down from the previously projected 20 percent. The company did not provide specific monetary figures for the revised profit expectations.
Notably, 888 Holdings has recently undergone leadership changes, with Per Widerström taking on the role of CEO in July and Sean Wilkins becoming the finance chief this month. These changes could be a sign of the company's determination to navigate through challenging times and drive growth in a rapidly evolving industry. Widerström will officially start in his post on 16 October.
Despite the Q3 setback, 888 Holdings expects sequential revenue growth in the fourth quarter compared to the previous one. However, year-on-year revenue is expected to decline by a mid-single-digit percentage. This prediction underscores the resilience and adaptability of the company in the face of challenges.
While 888 Holdings faces challenges primarily due to regulatory changes and favorable customer outcomes in Q3, the outlook is predicted to be positive. This is as a result of the new leadership team at the helm and a commitment to adapt. Most likely the company remains poised for future growth and profitability.