Q1 KPI's and IMS

RNS Number : 8801E

888 Holdings plc

14 April 2011

 



14 April 2011                                                                

888 Holdings Public Limited Company

("888" or "the Group")

Interim Management Statement
Q1 2011 Key Performance Indicators and Trading Update*

888, one of the world's most popular online gaming entertainment and solutions providers, is pleased to provide the following trading update for the first quarter of 2011.

Highlights

·      Group revenue US$75 million (Q1 2010: US$69 million), an increase of 9% year-on-year and a 6% increase compared to the strong Q4 2010

·      Revenue B2C US$64 million (Q1 2010: US$59 million), an increase of 9% year-on-year and a 7% increase compared to Q4 2010, boosted by growth in all product lines, especially Casino and Poker

·      Revenue B2B US$11 million (Q1 2010: US$10 million), an increase of 5% year-on-year and a 3% decline compared to Q4 2010

·      Number of active customers B2C Casino and Poker at 302,000, a 39% increase compared to Q1 2010 driven by successful new customer recruitment and marketing initiatives

·      As at 31 March 2011, 888 had 9.2 million Casino, Poker and Sport real money registered customer accounts, representing an increase of 21% since 31 March 2010

·      Strong current trading continues

Key Performance Indicators

First Quarter 2011

Group

·      Revenue US$75 million (Q1 2010: US$69 million), an increase of 9%

·      As at 31 March 2011, 888 had 9.2 million Casino, Poker and Sport real money registered customer accounts, representing an increase of 21% since 31 March 2010

B2C

·      Revenue B2C at US$64 million (Q1 2010: US$59 million), an increase of 9%

·      Revenue B2C Casino at US$33 million (Q1 2010: US$33 million), an increase of 2%

·      Revenue B2C Poker at US$11 million (Q1 2010: US$12 million), a decrease of 2% and an increase of 7% compared to Q4 2010

·      Revenue B2C Bingo at US$14 million (Q1 2010: US$11 million), an increase of 31%

·      Revenue B2C Emerging Offering at US$5 million (Q1 2010: US$4 million), an increase of 53%

·      Number of active customers B2C Casino and Poker at 302,000, an increase of 39% compared to Q1 2010

·      Number of active customers B2C Casino at 129,000, an increase of 68% compared to Q1 2010

·      Number of active customers B2C Poker at 221,000, an increase of 32% compared to Q1 2010

·      Quarterly revenue B2C per active Casino and Poker customer was US$148, a 27% decrease compared to Q1 2010 and stable compared to Q4 2010

·      Quarterly revenue B2C per active Casino customer was US$258, a 39% decrease compared to Q1 2010 and 3% increase compared to Q4 2010

·      Quarterly revenue B2C per active Poker customer was US$51, a 26% decrease compared to Q1 2010 and 3% compared to Q4 2010

B2B

·      Revenue  B2B at US$11 million (Q1 2010: US$10 million), an increase of 5%

Current Trading

Trading at the start of Q2 has continued to be strong and, as we enter the historically weaker summer period, we expect trading in 2011 to follow seasonal patterns.

Material Events, Transactions and Financial Position

There have been no material events, transactions or changes in the financial position of 888 since the year end other than as announced and set out above.

As at 31 March 2011 the Group had US$59 million of cash and cash equivalents.

Commenting on today's announcement Gigi Levy said:

"I am delighted to report that in the first quarter of 2011 the company achieved further impressive 6% growth compared to the strong Q4 2010, making Q1 a new record quarter for the company in terms of both revenue and player numbers. The excellent figures reported today and the ongoing strength in current trading indicate the company is growing and is on the right track towards further success. 

As announced earlier in the week I feel now is the right time to stand down, leaving the company stable and growing. I want to thank the board and the shareholders for their support and I also want to send a special thank you to the employees and managers of the company, who worked with me around the clock, believing in the company, its capabilities and prospects. This is an amazing team of people, one of the best I ever worked with, and from whom I have learned a great deal."

Richard Kilsby, Chairman, said:

"These record results are a fitting end to Gigi's tenure as CEO at 888 and provide an excellent base from which to grow the business in 2011. The Board would like to thank Gigi for his contribution during his time as CEO and look forward to his continuing involvement as a member of the Board

There is no change to the Wink Bingo earn out payment schedule, detailed in the announcement on 18^th March 2011, and we remain on track to fulfil our liabilities."

* All percentages in this release are calculated without rounding

Analyst and Investor Conference Call

There will be an analyst and investor conference call at 09:30am (BST) today.

Dial-in number:	[phone]
Passcode:	3147749
Replay number:	[phone]
Replay passcode:	3147749

Contacts and enquiries

888
Aviad Kobrine, Chief Financial Officer	[phone]
M:Communications
Ann-marie Wilkinson/Andrew Benbow	[phone]

This announcement includes statements that are, or may be deemed to be, "forward-looking statements". By their nature, forward-looking statements involve risk and uncertainty since they relate to future events and circumstances. Forward-looking statements may and often do differ materially from actual results. Any forward-looking statements in this announcement reflect 888's view with respect to future events as at the date of this announcement. Save as required by law or by the Listing Rules of the UK Listing Authority, 888 undertakes no obligation publicly to release the results of any revisions to any forward-looking statements in this announcement that may occur due to any change in its expectations or to reflect events or circumstances after the date of this announcement.

Appendix

US$m*	2009				2010				2011
	Q1	Q2	Q3	Q4	Q1	Q2	Q3	Q4	Q1
B2C Revenue
Casino	26.7	29.2	29.4	33.4	32.8	26.5	26.6	31.0	33.4
Poker	13.7	12.5	12.5	12.9	11.6	8.0	8.2	10.6	11.3
Bingo	2.4	2.7	2.8	2.8	10.9	12.6	12.5	14.1	14.2
Emerging Offering	2.4	4.0	3.5	4.5	3.5	4.4	3.9	4.4	5.4
Total  Revenue B2C	45.1	48.4	48.2	53.6	58.8	51.6	51.2	60.1	64.4
B2C KPI
Revenue Casino US$m	26.7	29.2	29.4	33.4	32.8	26.5	26.6	31.0	33.4
Active Players Casino (000)	62.1	66.5	62.4	67.9	76.9	68.1	73.4	123.8	129.5
Revenue Casino per active player US$	$ 429	$ 439	$ 471	$ 493	$ 426	$ 390	$ 362	$ 250	$ 258
Revenue Poker US$m	13.7	12.5	12.5	12.9	11.6	8.0	8.2	10.6	11.3
Active Players Poker (000)	133.1	142.4	133.8	131.9	167.9	121.5	115.3	200.9	221.9
Revenue Poker per active player US$	$ 103	$   88	$   93	$   98	$  69	$  66	$  71	$   53	$  51
Revenue Casino & Poker US$m	40.4	41.8	41.8	46.3	44.4	34.6	34.8	41.6	44.7
Active  Players Casino & Poker (000)	167.7	179.7	168.5	172.7	217.8	167.2	165.3	283.0	302.3
Revenue Casino & Poker per active player US$	$ 241	$ 232	$ 248	$ 268	$ 204	$ 207	$ 211	$ 147	$ 148
B2B Revenue
Revenue B2B	11.9	12.4	12.7	14.3	10.4	9.5	9.3	11.3	10.9
Revenue	57.0	60.9	60.9	67.9	69.2	61.0	60.6	71.3	75.3

*Rounded

 

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