No recommendation
No news or research item is a personal recommendation to deal. Hargreaves Lansdown may not share ShareCast's (powered by Digital Look) views.
(Sharecast News) - William Hill and 888 owner Evoke reported a widening of its full-year losses on Thursday as it confirmed the closure of around 270 shops.
In results for the year to the end of December 2025, Evoke said losses after tax widened to 549.1m from 220.9m the year before. The company pointed to the significant increase in UK online duties announced in November, as well as "challenging" high street trading conditions.
On a reported basis, earnings before interest, tax, depreciation and amortisation were up 43% to 301.3m, while group revenue ticked up 2% to 1.8bn, driven by online gaming. Adjusted EBITDA was 14% higher at 356m, in line with expectations.
Revenue in the UK & Ireland online segment dipped 3%, with growth in gaming driven by William Hill, offset by a reduction in 888, as expected.
International online revenue rose 9%, with 17% growth across international core markets, driven by market share gains and record revenues in Italy and Denmark.
Evoke confirmed that following a review of its retail estate in the wake of increases in gambling duties, it will be closing around 270 shops that are no longer sustainable. This will deliver "significantly improved" retail profitability and enhance long-term sustainability, it said.
Chief executive Per Widerstrm said: "Throughout 2025 we delivered consistent operational progress resulting in a more efficient, focused and disciplined business delivering improved marketing returns, stronger cost control, enhanced operating leverage, and a step-change in underlying profitability.
"However, the significant UK duty increases announced in November represented a fundamental shift in the economics of our largest market and will have a substantial impact across the regulated industry. We have acted decisively to mitigate the impact of these changes and protect long-term shareholder value, including initiating a strategic review and implementing significant operational actions across the business.
"In Q1 2026 we have traded in line with our expectations. While the trading environment is challenging, we remain firmly focused on delivering profitable growth, cash generation and strengthening the balance sheet."
Evoke announced earlier this month that it was in talks with Greek gambling company Bally's Intralot about a 50p per share takeover proposal.
At 1125 BST, the shares were down 1.1% at 40.50p.
See latest RNS on Investegate