888.com Releases Financial Figures

888.com has released its financial figures for the year 2007 and the figures show that the company suffered a 54 percent decline in profits due to its withdrawal from the lucrative U.S. market.  Even though the company’s withdrawal was voluntary, it felt the loss of customers when it departed due to the enactment of the Unlawful Internet Gambling Enforcement Act. This is the law that made it illegal for financial institutions to process transactions between U.S. players and their gambling companies.

The year 2007 was a year of transition for 888.com.  Their net income fell from $74.5 million in 2006 to $34.2 million in 2007.  The activities that the company had to cut were the activities that resulted in about 85 percent of their 2006 profit and the company had to make some changes to adjust to the new situation. They lost 55 percent of their sales due to UIGEA.

The Gibraltar based company has slashed jobs, launched an online bingo site and has entered into partnerships with different companies, like Blue Square.  They are also targeting customers in Asia and Europe.  They have also begun a sports betting operation in Italy, Germany and other European countries. 

888.com expects to have a better year in 2008.  The company said they had a strong start in 2008 and have a confident outlook.  They also expect to have other acquisitions during the year.

Posted: April 8, 2008

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