888 raises 2020 expectations amid a trifecta of US market access deals

888 Holdings has unveiled three multi-year market access agreements in the US, as the group raises full-year expectations due to a continued strong operational performance throughout the second half of the year.

Representing the latest milestone’s in the group’s strategic US growth strategy, launches across Colorado, Indiana and Iowa, initially via the 888Sport brand, will commence during 2021.

In the former of those 888sport will debut under the licence of the Colorado Grande Casino based in Cripple Creek, the Hoosier State sees an agreement secured alongside Harrah’s Hoosier Park, which is owned by Caesars Entertainment, while an Iowan debut will take place under the licence of Catfish Bend Casinos.

Yaniv Sherman, SVP head of commercial development at 888, commented on these deals: “Expanding 888Sport.com into these three states represents another major milestone in our ongoing growth across the regulated US online gaming market. 

“We have deployed our proprietary technology in the US, and our exciting pipeline of new products will deliver industry-leading propositions to customers across both our B2B and B2C operations. 

“We continue to appraise strategic partnerships that will provide additional brand-building and market access opportunities for 888 across the US market in the near future.”

As well as unveiling plans to increase its US presence to six states, 888’s board anticipates that full-year revenue will finish 45 per cent ahead of 2019’s $560.3m.

Asserting that 2021 expectations remain unchanged, adjusted EBITDA margin for the year is expected to be approximately 18.5 per cent, which is consistent with that achieved in the first half of 2020.

Itai Pazner, CEO of 888, explained: “We are delighted to sign these agreements with three great partners – the Colorado Grande Casino, Catfish Bend Casino II LLC, and Harrah’s Hoosier Park – that will enable 888 to bring its first-class online sportsbook to bettors in Colorado, Iowa and Indiana. 

“The US online betting and gaming market has huge growth potential, and we continue to build a strong platform for growth across both our B2B and B2C operations.

“In addition, we are pleased with 888’s trading during the second half of 2020. This performance continues to reflect strong FTD trends in line with the group’s recreational customer focus as well as the structural shift towards online services being seen across several consumer-facing industries. We have continued to prioritise safe gambling and recognise the impact of COVID-19 on the lives of 888’s customers across global markets. 

“888 continues to invest in protecting customers and has again increased the volume of interactions with customers initiated by 888’s safer gambling team in order to help prevent gambling related harm. Underpinned by 888’s core strengths as a responsible operator with outstanding technology, the group remains well positioned to deliver further strategic progress.”