Q3 KPI's and IMS

RNS Number : 8476O

888 Holdings plc

17 October 2012

 



17 October 2012                                 

888 Holdings Public Limited Company

("888" or "the Group")

Interim Management Statement
Q3 2012 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 third quarter of 2012.

Financial Highlights

·      Group revenue US$92 million (Q3 2011: US$86 million), an increase of 7% year on year

·      Revenue B2C US$80 million (Q3 2011: US$74 million), an increase of 8% year on year

·      Revenue B2C Casino US$38 million (Q3 2011: US$37 million), an increase of 2% year on year

·      Revenue B2C Poker US$22 million (Q3 2011: US$18 million), an increase of 21% year on year

·      Revenue B2C Emerging Offering US$7 million (Q3 2011: US$5 million), an increase of 27% year on year

·      Group revenue during the first three quarters of 2012 at US$278 million (2011: US$240 million), an increase of 16%

·      Number of active customers B2C Casino and Poker at 454,000 (Q3 2011: 442,000), a 3% increase compared to Q3 2011

·      As at 30 September 2012, 888 had 12.5 million Casino, Poker and Sport real money registered customer accounts, representing an increase of 24% since 30 September 2011

Commenting on today's announcement Brian Mattingley, Chief Executive Officer, said:

"Our core business has continued to perform well during the quarter, with our targeted marketing campaigns contributing towards our ongoing success and Spain outperforming our expectations.

The final quarter has started positively with average daily revenues more than seven per cent. ahead of the strong Q4 2011. A disciplined approach to our costs, and our analytics driven marketing spend proving highly efficient, means we now expect our EBITDA for the full year to be significantly ahead of current market expectations."

* All percentages in this release are calculated without rounding

Key Performance Indicators

Third Quarter 2012

Group

·      Revenue US$92 million (Q3 2011: US$86 million), an increase of 7%

·      As at 30 September 2012, 888 had 12.5 million Casino, Poker and Sport real money registered customer accounts, representing an increase of 24% since 30 September 2011

B2C

·      Revenue B2C at US$80 million (Q3 2011: US$74 million), an increase of 8%

·      Revenue B2C Casino at US$38 million (Q3 2011: US$37 million), an increase of 2%

·      Revenue B2C Poker at US$22 million (Q3 2011: US$18 million), an increase of 21%

·      Revenue B2C Bingo at US$13 million (Q3 2011: US$13 million), stable year-on-year

·      Revenue B2C Emerging Offering at US$7 million (Q3 2011: US$5 million), an increase of 27%

·      Number of active customers B2C Casino and Poker at 454,000, an increase of 3% compared to Q3 2011

·      Number of active customers B2C Casino at 158,000, a decrease of 21% compared to Q3 2011

·      Number of active customers B2C Poker at 349,000, an increase of 14% compared to Q3 2011

·      Quarterly revenue B2C per active Casino and Poker customer was US$133, a 5% increase compared to Q3 2011

·      Quarterly revenue B2C per active Casino customer was US$241, a 29% increase compared to Q3 2011

·      Quarterly revenue B2C per active Poker customer was US$63 a 6% increase compared to Q3 2011

Dragonfish

·      Revenue B2B at US$12 million (Q3 2011: US$12 million), a decrease of 2% year-on-year

Nine months ended 30 September 2012

·      Revenue up 16% to US$278 million (2011: US$240 million)

B2C

·      Revenue B2C up 19% to US$244 million (2011: US$205 million)

·      Revenue B2C Casino up 14% to US$121 million (2011: US$106 million)

·      Revenue B2C Poker up 50% to US$63 million (2011: US$42 million)

·      Revenue B2C Bingo down 2% to US$40 million (2011: US$41 million)

·      Revenue B2C Emerging Offering up 23% to US$19 million (2011: US$16 million)

Dragonfish

·      Revenue B2B down 2% to US$34 million (2011: US$35 million)

Current Trading

Trading at the start of the final quarter of 2012 has been strong, especially in B2C, with average daily revenue over seven per cent higher in the first two weeks of the quarter compared to Q4 2011. The period has also seen an increase in first time depositors, bets and deposits, although Bingo remains challenging.

As at 12^th October 2012 the Group had US$81 million of cash and cash equivalents, and US$46 million liabilities to customers.

Analyst and Investor Conference Call

There will be an analyst and investor conference call at 11.30am (BST) today.

Dial-in number:	[phone]
Passcode:	2965433
Replay number:	[phone]
Replay passcode:	2965433

Contacts and enquiries

888
Brian Mattingley, Chief Executive Officer	[phone]
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$m*	2010				2011				2012
	Q1	Q2	Q3	Q4	Q1	Q2	Q3	Q4	Q1	Q2	Q3
B2C Revenue
Casino	32.8	26.5	26.6	31.0	33.4	35.6	37.5	41.6	42.2	40.9	38.2
Poker	11.6	8.0	8.2	10.6	11.3	12.7	18.1	18.5	21.2	20.1	21.9
Bingo	10.9	12.6	12.5	14.1	14.2	13.3	13.3	13.1	13.6	13.4	13.3
Emerging Offering	3.5	4.4	3.9	4.4	5.4	4.8	5.4	5.9	6.2	6.1	6.9
Total  Revenue B2C	58.8	51.6	51.2	60.1	64.4	66.4	74.3	79.1	83.2	80.5	80.3
B2C KPI
Revenue Casino US$m	32.8	26.5	26.6	31.0	33.4	35.6	37.5	41.6	42.2	40.9	38.2
Active Players Casino (000)	76.9	68.1	73.4	123.8	129.5	159.2	200.4	223.8	227.8	185.0	158.5
Revenue Casino per active player US$	$ 426	$ 390	$ 362	$ 250	$ 258	$ 223	$ 187	$ 186	$ 185	$ 221	$ 241
Revenue Poker US$m	11.6	8.0	8.2	10.6	11.3	12.7	18.1	18.5	21.2	20.1	21.9
Active Players Poker (000)	167.9	121.5	115.3	200.9	221.9	231.3	307.2	318.3	405.3	377.6	349.5
Revenue Poker per active player US$	$  69	$  66	$  71	$   53	$  51	$ 55	$ 59	$ 58	$ 52	$ 53	$ 63
Revenue Casino & Poker US$m	44.4	34.6	34.8	41.6	44.7	48.2	55.6	60.1	63.4	61.0	60.1
Active  Players Casino & Poker (000)	217.8	167.2	165.3	283.0	302.3	342.0	442.1	477.5	566.4	504.9	453.7
Revenue Casino & Poker per active player US$	$ 204	$ 207	$ 211	$ 147	$ 148	$ 141	$ 126	$ 126	$ 112	$ 121	$ 133
B2B Revenue
Revenue B2B	10.4	9.5	9.3	11.3	10.9	12.1	11.9	12.0	11.2	11.6	11.6
Revenue	69.2	61.0	60.6	71.3	75.3	78.5	86.2	91.1	94.4	92.1	91.9

*Rounded.

As of 1st January 2012, as part of the Group's effort to match the poker network's player environment to the requirements of target customers, the Group took over certain poker B2B brands, the performance of which was previously reported as part of B2B and is now reported as part of B2C.The pro-forma figures excluding the effects of this for Q3 2012 are as follows: Q3 2012 B2C Poker revenue US$20 million, an increase of 11% compared to Q3 2011, Q3 2012 B2C revenue US$78 million, an increase of 6% compared to Q3 2011, Q3 2012 B2B revenue US$12 million, an increase of 3% compared to Q3 2011 and Q3 2012 group revenue US$91 million, an increase of 5% compared to Q3 2011.

 

END

 

 

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