Evoke PLC Posts 1% Q1 Revenue Growth
Evoke PLC, parent of William Hill and 888, kicked off 2025 with £437 million in Q1 revenue, up 1% year-on-year, or 2% in constant currency.
A Steady Start with Big Plans
Year-to-date growth hit 4%, but fell short of the company’s 5-9% annual target. Adjusted EBITDA soared, pushing the last twelve months’ figure past £330 million, reflecting a leaner operation in the U.S.
“The Q1 performance is consistent with the update provided at our full year results, with improvements in April supporting revenue growth in the year-to-date of approximately 4%,” said Per Widerström, CEO of Evoke.
“While Q1 revenue was below our 5-9% annual growth target, Adjusted EBITDA is significantly higher year on year, with LTM Adjusted EBITDA reaching more than £330m.”
Despite the modest revenue bump, Evoke expects stronger growth from Q2, eyeing its 5-9% full-year goal. International markets led the charge, while UK challenges lingered. With $1.79 billion in net debt, Evoke aims to cut leverage below 5.0x by year-end.
International Shines, UK Struggles
Evoke’s International division, spanning Italy and Romania, posted an 11% revenue jump, or 14% in constant currency, to £151.7 million. Romania’s surge, fueled by the Winner.ro acquisition, drove double-digit gains.
Italy’s 31% growth, helped core markets, making up 85% of online revenue. This offset a 1% dip in UK&I Online to £162.5 million, where gaming rose 3% but sports betting fell 9% due to safer gambling rules. A 21% drop in active players, tied to last year’s heavy promotions, was balanced by a 26% ARPU spike.
UK retail, with 1,400 William Hill shops, saw a 6% revenue decline to £123.1 million. Gaming held steady, up 6% from Q4 2024, but betting dropped 9% on lower stakes and margins. The rollout of 5,000 new gaming machines by March 2025, boosting per-machine wins to £750, signals a retail rebound.
Navigating Regulations and Growth
New UK safer gambling measures, impacting 15% of stakes, hit Evoke’s £1.17 billion in Q1 stakes, down 14%. Yet, Widerström’s focus on high-value players lifted ARPU, aligning with a $64 billion global market shift to sustainable betting.
Evoke’s £30 million 2024 cost cuts, plus £15-25 million planned for 2025, counter £10 million in UK tax hikes. The Mr Green platform migration to 888’s system, completed in February, saved costs.
With 95% of revenue regulated, Evoke’s strategy targets core markets. Romania’s 7% market share and William Hill’s 9% UK online share bolster its $1.8 billion 2024 revenue base. Still, a 34% stock drop over 12 months reflects investor caution.
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