The British sports betting and gaming company behind William Hill and 888 isn’t budging from full-year expectations.
Key Takeaways
- Evoke maintained estimates of 5% to 9% full-year revenue growth at 2025 midpoint
- Company CEO says the group delivered “significantly improved profitability” in H1
- Evoke will continue to invest and continue its revenue-increasing plans in H2
Following a second quarter that produced a 5% year-over-year revenue increase, Evoke plc maintained its 5% to 9% revenue growth estimates for 2025 after reporting £887.8 million in revenue on Wednesday during the six months ending June 30.
The 3% year-over-year revenue increase and a 43.6% Adjusted EBITDA spike to £165.9 million have Evoke on pace for an adjusted core earnings margin of at least 20%. An adjusted pre-tax profit of £5.9 million is way ahead of the H1 2024’s £29.9 million loss.
“We are seeing clear evidence of the transformation and operational reset we’ve undertaken, with the Group delivering continued revenue growth, significantly improved profitability and meaningful deleveraging during the first half of the year,” Evoke CEO Per Widerström said.
Segment breakdown
Evoke reported a 13% increase in international revenue, led by a strong growth across core markets, while Adjusted EBITDA in the segment doubled to £86 million. A 22% revenue spike on a current currency basis came from growth across all Italy, Spain, Romania, and Denmark.
That helped offset a 1% decline in online U.K./Ireland revenue, which isn’t bad considering the same period last year benefited from soccer’s UEFA Euro Championship.
Some of those segment drop-offs also came from an evolved marketing approach with 888 in the U.K. and Ireland that now has a “refreshed marketing team, now focused on improved returns.”
Retail revenue in the U.K. is down 2.4%, but a rollout of 5,000 gaming cabinets during Q2 helped Evoke bounce back to growth numbers. Evoke plans to address the needs for self-service betting terminals with increased investments in H2.
Well-positioned
Evoke is also pleased with early Q3 returns, which are in line with the company’s plans and another reason why it’s maintaining growth and Adjusted EBITDA estimates. Behind “accelerated momentum” so far in H2, the gaming operator is eyeing more profitability improvements through operating leverage.
“The improved financial performance is a result of substantial strategic progress, focusing resources on our core markets and executing a short-term turnaround, while investing in building stronger capabilities to support long-term sustainable and profitable growth,” Widerström said.
“Having delivered four consecutive quarters of growth, we are well-positioned to drive continued progress, supported by our leading market positions, established brands, outstanding products, and a clear customer proposition.”
