888 announces its annual financial results for the year ended 31 December 2018

Group revenue¹ decreased by 2% to US$529.9 million (2017: US$541.8 million)

Revenue from regulated and taxed markets continue to represent the significant majority of Group revenue at 70% (2017: 70%)

B2C Casino revenue increased by 8% to US$317.6 million (2017: US$293.9 million); B2C Casino revenue excluding UK increased by 17%

B2C Sport revenue increased by 6% to US$80.3 million (2017: US$75.5 million); B2C Sport revenue excluding UK increased by 18%

B2C Poker revenue decreased by 37% to US$49.0 million (2017: US$77.9 million) reflecting challenging competitive environment 

B2C Bingo revenue decreased by 17% to US$32.4 million (2017: US$39.3 million) reflecting heightened regulatory scrutiny in the UK

Resolution of a legacy VAT matter in Germany and subsequent release of an exceptional provision of US$22.4 million

Adjusted EBITDA² increased by 6% to US$107.1 million (2017: US$100.7 million); EBITDA for the period was US$129.1 million (2017: US$41.2 million)

Adjusted EBITDA margin increased by 160bp to 20.2% (2017: 18.6%); EBITDA margin increased to 24.4% (2017: 7.6%)

Adjusted Profit before tax² increased by 11% to US$86.7 million (2017: US$78.3 million); Profit before tax was US$108.7 million (2017: US$18.8 million) 

Adjusted basic earnings per share increased to 20.2¢ (2017: 20.1¢); basic earnings per share increased to 26.3¢ (2017: 3.5¢)

Final dividend of 6.0¢ per share (2017: 5.9¢ per share), plus an additional one-off 2.0¢ per share (2017: 5.6¢ per share) bring the total dividends for the year to 12.2¢ per share (2017: 15.5¢)

Continued growth across several regulated markets, primarily in Continental Europe, underpinned by momentum in Casino and Sport, resulting in revenue from regulated markets (excluding the UK) increasing by 14%

Improving trends in the UK B2C business towards the end of the year following the prudent and proactive customer protection measures taken by 888 over the past 18 months; positive trends in the UK market have continued in Q1 2019 with UK B2C revenue up more than 10% year-on-year at constant currency

Continued product innovation with the successful gradual launch in May of Orbit, 888's most exciting Casino product innovation during recent years, delivering encouraging results

16% year on year increase in active Casino players

888Sport first time depositors increased by 21% and deposits increased by 10%

Further investment in 888's poker proposition including the launch of 888Poker.it (Italy) at the beginning of 2018 and the development of the Group's new Poker 8 platform during the year

Progress in the developing US market with highlights including:

o  The strategic acquisition of the remaining 53% interest in the All American Poker Network for US$28.5 million

o  The launch of 888Sport in New Jersey in September and subsequent sponsorship of the New York Jets by 888.com

o  Enhanced casino content in New Jersey

New licences obtained in Sweden and Malta at the end of the year and in Portugal post the period end

Appointment of Itai Pazner, previously Chief Operating Officer, as 888's new Chief Executive Officer replacing Itai Frieberger who stood down as CEO after more than 14 years with the business

Acquisition of a number of bingo brands, including Costa Bingo, for £18m strengthening 888's position in the UK online bingo market

Strategic acquisition of high-quality and scalable sportsbook technology alongside associated risk management, product and trading capabilities from Dedsert Limited and Dedsert (Ireland) Limited and its affiliates for £15 million

Positive current trading with average daily revenue up more than 10% in Q1 so far when compared to Q4 2018 and Group trading during the financial year to date 5%* higher at constant currency year-on-year