888 Holdings Navigates Financial Landscape Amidst William Hill Acquisition and Regulatory Shifts

A prominent gaming and leisure corporation, 888 Holdings, recently disclosed an update regarding its financial standing.

Covering the year ending February 28, 2022, 888 declared £690 million (roughly $840.8 million) in income and £109 million in adjusted EBITDA. These numbers offer a glimpse into the company’s achievements before finalizing its purchase of William Hill’s global holdings.

Regarding William Hill, their overseas activities yielded £1.36 billion in income and £238 million in adjusted EBITDA during the 52 weeks leading to February 22, 2022. 888 highlighted that this outcome stemmed from the resumption of physical venues and robust outcomes across various regulated territories. Nevertheless, these advances were somewhat counteracted by the Dutch market’s closure and the enactment of stricter responsible gaming regulations in the UK’s digital segments for both entities.

Moving forward, 888 predicts income ranging from £330 million to £335 million for the half-year ending June 2022. This estimate aligns with projections, with expansion in specific European regions balanced by the influence of responsible gaming policies and the temporary departure from the Netherlands.

Concurrently, William Hill forecasts income between £620 million and £630 million for the 26 weeks ending June 28, 2022. This outlook reflects the favorable impact of retail revivals, moderated by the consequences of heightened responsible gaming protocols in the UK’s online sector and modifications in certain international online markets, including the withdrawal from the Netherlands.

In a separate statement, 888 unveiled its plan to secure £1 billion through a share placement, facilitated by 888 Acquisitions Limited and 888 Acquisitions LLC. This action implies strategic endeavors are forthcoming as the company positions itself for future expansion.

The firm is burdened by a massive amount of debt, approximately €20.2 billion in senior secured debt instruments. This encompasses a substantial term loan in US currency maturing in 2028, in addition to two euro-denominated bonds (one with a fixed interest rate, the other with a variable rate) reaching maturity in 2027 and 2028, respectively.