This story is sponsored by 888 Poker
888’s rejuvenated poker product helped the company record the highest ever monthly revenue in its history in March, the company’s CEO revealed in a trading update this morning.
Revenue from 888 Poker, the second major beneficiary behind PokerStars of last year’s shutdown of US-facing sites such as Full Tilt due to the timely introduction of recreational player-focused initiatives such as its Poker 6 platform and PokerCams, nearly doubled year-on-year in the last quarter, rising 88% to US$21m in the three months to the end of March.
In combination with strong cross-sell into its core casino product – up 26% year-on-year to US$42m from US$33m - the stellar performance of the London-listed gaming group’s poker product helped the group to a 25% increase in overall revenue to US$94m, up from US$75m a year earlier.
CEO Brian Mattingley, appointed on a permanent basis last month following the revival in the business’ fortunes since he took the job on an interim basis in April 2011, albeit achieved on the back of initiatives introduced under his predecessor Gigi Levy, paid tribute to “ongoing strength in Poker driving March to the highest ever monthly revenues in the history of 888.” He added that the company would continue to invest throughout 2012 in order to build market share in countries that were regulating their online gaming markets.
Bingo – including the 888Ladies and Wink Bingo brands – was however 5% down US$14m, although this revenue total was 4% up on the final quarter of 2011.
According to the company’s figures, rounded down to the nearest US$m and/or percentage point, revenue from its B2B Dragonfish arm was up 3% year-on-year. However the US$11m revenue total from Dragonfish represented a contraction from around 15% to 12% of the overall business due mainly to the strong growth of the consumer-facing B2C business, which was up 29% year-on-year to US$83m from US$64m. The balance betweeen B2B and B2C revenues was however distorted by the company taking over “certain B2B poker brands” from 1 January of this year “as part of “the Group’s effort to match the poker network’s player environment to the requirements of target customers,” said 888 this morning.
Considered on a pro-forma basis, with these migrated revenues removed from the equation, 888′s Dragonfish B2B arm, which provides software for brands such as Foxy Bingo and Costa Bingo, performed more strongly, revenue rising 9% YoY to US$12m.
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