Internet gambling company 888 Holdings profits up
The online gambling company
888 Holdings (LSE:888) announced today a 55% increase in profits
for the year 2006.
to the report, the gambling company's profits rose 55% to $74.5
million in 2006 compared to $48 million in 2005, and net gaming
revenue is up 27.7% to 157 million.
888 Holdings also posted its
2007 Q1 update, pointing out that net gaming revenue rose 19%
from a year earlier to a record $47 million. The number of
active customers has reached 206,000, an increase of 9% from the
Q4 of 2006. Earnings per share were up 29 per cent to 24.8 cents
and the company announced it intends to pay a final dividend of
8.88 cents per share, and the stock is up today 2.51% or 3.00GBp
According to the COO Gigi
Levy, the company is looking at acquisitions and opportunities
for organic growth after the introduction of the U.S. Unlawful
Internet Gambling Act forced it to stop doing business with U.S.
customers in October. The UK and the rest of Europe currently
represents 81 per cent of the business but Mr. Levy said the
company planned to develop other key markets. Mr. Levy admits
that Rep. Barney Frank's online gambling bill is no something
they are looking forward to, as its implication on the UK
Internet gambling companies would not be positive, an opinion
confirmed by the market when shares of 888 Holdings lost almost
13% of its value the day the text of the bill was announced.
Earlier this month 888 Holding
announced the break-up of talks started last year with Ladbrokes
for a potential acquisition.