About 888 Holdings

Founded in 1997 as Virtual Holdings Limited, 888 Holdings is an online gambling company headquartered in Gibraltar. Operating in the business-to-consumer (B2C) sector, it offers casino, poker, and sportsbook services, managing brands like 888 Casino, 888 Poker, and 888 Sport.

Licensed in various jurisdictions, including Gibraltar, Malta, and the U.S., 888 Holdings has a significant economic impact, contributing £588 million ($736 million) or 47.4% of its total revenue in taxes and duties across operating countries in 2022. Boasting an impressive 85% ESG ranking percentile among 32,244 companies assessed by CSR Hub, the company emphasizes a commitment to ESG practices.

Key Performance Indicator (KPI) Ratings

Key Performance Indicators (KPIs) for 888 Holdings PLC based on the Half-Year Results for the six months ending 30 June 2023:

Financial Performance Summary

• 888 Holdings PLC reported significant growth in revenue, with reported Group revenue reaching £881.6 million, reflecting a notable increase of 165%. However, the pro forma Group revenue showed a decrease of 7% to the same £881.6 million. This indicates potential fluctuations or adjustments in the revenue stream.
• In terms of earnings, the Reported Adjusted EBITDA for 888 Holdings PLC soared to £155.6 million, marking a substantial increase of 211%. This impressive growth in EBITDA signifies improved operational efficiency and profitability for the company. The Pro forma Adjusted EBITDA margin also saw a positive trend, standing at 17.7%, which is an increase of 2.6 percentage points.
• With a global workforce of over 11,000 employees, 888 Holdings PLC demonstrates its substantial scale and operational capacity. This large employee base indicates the company’s broad reach and presence in various markets.

Overall, these figures provide stakeholders with valuable insights into 888 Holdings PLC’s robust financial performance, enhanced operational efficiency, and significant growth trajectory, despite the slight decrease in pro forma revenue. The notable increase in both Reported Adjusted EBITDA and EBITDA margin reflects positive trends in the company’s profitability and financial management.

ESG Overview

In this section, we explore the Environmental, Social, and Governance (ESG) practices of 888 Holdings. Understanding a company’s ESG commitments is crucial for investors, stakeholders, and the general public to assess its impact on the environment, society, and governance structures. We delve into 888 Holding’s initiatives, strategies, and performance in these key areas, shedding light on its sustainability efforts and social responsibility. For a comprehensive guide on ESG in the iGaming industry, you can visit Better World Casinos – Understanding ESG and iGaming.

ESG Strategy

888 Holdings’ ESG strategy is multifaceted, focusing on environmental, social, and governance aspects. To reduce its carbon footprint, the company targets net zero emissions by 2035 and aims for an 80% reduction in direct emissions by 2030. Engaging suppliers committed to emission reduction forms a key part of its environmental efforts. Socially, 888 Holdings supports communities through donations and volunteer programs, while also prioritizing employee well-being with initiatives like the William Hill hardship fund. In governance, the company maintains strict anti-corruption measures, adheres to a sustainability charter, and operates with a well-defined corporate structure overseen by key committees. These strategies underline 888 Holdings’ dedication to sustainability, community support, and ethical business practices, aligning with global standards for a positive long-term impact.

Environmental Impact

In this section, we delve into the company’s efforts towards environmental sustainability and its initiatives to reduce its carbon footprint. For a detailed overview of 888 Holdings environmental strategies, you can also visit  ESG Environment page.

Environmental Performance

Emissions:

888 Holdings has set ambitious targets to reduce its carbon emissions and mitigate its environmental impact. The company aims to achieve net zero carbon emissions by 2035, demonstrating a strong commitment to sustainability and climate action. To accomplish this goal, 888 Holdings has identified key priorities and initiatives focused on emission reduction, supplier engagement, employee engagement, and investment in solutions.

Emissions Scope:

The company’s emissions scope encompasses both direct and indirect emissions across its operations. Direct emissions, also known as Scope 1 emissions, include greenhouse gas emissions from sources that are owned or controlled by the company, such as onsite fuel combustion and company vehicles. Indirect emissions, or Scope 2 emissions, refer to greenhouse gas emissions associated with purchased electricity, heating, and cooling.

Supplier Engagement:

888 Holdings recognizes the importance of engaging with its suppliers to reduce emissions throughout its supply chain. The company has set a target to allocate 60% of its expenditure on third-party suppliers committed to emission reduction strategies by 2025. This proactive approach to supplier engagement demonstrates 888 Holdings’ commitment to promoting sustainability across its business ecosystem.

Targets & Initiatives:

To drive progress towards its emissions reduction goals, 888 Holdings has implemented a series of targeted initiatives:

1. Emission Reduction: The company aims to achieve an 80% reduction in direct emissions by 2030, aligning with global efforts to limit the impacts of climate change. This ambitious target underscores 888 Holdings’ commitment to reducing its carbon footprint and mitigating environmental risks.
2. Employee Engagement: 888 Holdings actively encourages greener transportation options among its employees, promoting initiatives such as carpooling, public transportation incentives, and remote work opportunities. By engaging employees in sustainable transportation practices, the company aims to reduce its overall carbon emissions and support a culture of environmental responsibility.
3. Investment in Solutions: As part of its commitment to sustainability, 888 Holdings invests in high-quality solutions to offset emissions and minimize its environmental footprint. These investments may include renewable energy projects, energy-efficient technologies, and carbon offset programs. By leveraging innovative solutions, 888 Holdings strives to achieve its emission reduction targets while driving positive environmental outcomes.

Overall, 888 Holdings’ environmental performance reflects a proactive approach to sustainability, characterized by ambitious targets, supplier engagement, employee involvement, and strategic investments in emission reduction solutions. Through these efforts, the company demonstrates its commitment to environmental stewardship and sustainable business practices.

Social Performance

In this section, we explore the company’s initiatives related to social responsibility, employee engagement, and community involvement. For a comprehensive view of 888 Holding social endeavors, you can also visit  ESG Social page.

Social Impact

Internal Social Initiatives:

888 Holdings boasts a global workforce of over 11,000 employees who actively contribute to serving local communities through the company’s extensive network of 1,350 retail outlets. These internal social initiatives play a vital role in supporting community development, fostering positive relationships, and addressing societal needs. By engaging employees in meaningful volunteer activities and community outreach programs, 888 Holdings demonstrates its commitment to making a positive social impact beyond its core business operations.

Employee Well-being:

The company prioritizes the well-being of its employees through various support mechanisms, including grants offered through the William Hill hardship fund. The William Hill hardship fund serves as a valuable resource for employees facing financial challenges or unexpected hardships, providing financial assistance and support during times of need. By offering this assistance, 888 Holdings demonstrates its commitment to supporting the welfare and livelihoods of its employees, ensuring they have access to essential resources and support systems.

Employee Feedback:

888 Holdings values employee feedback and actively seeks input from its workforce to improve the employee experience and foster a positive work environment. The company’s Glassdoor ratings provide valuable insights into employee sentiment and satisfaction levels. With a Glassdoor rating of 3.8 out of 5 stars and a 74% recommendation rate, 888 Holdings receives positive feedback from employees, reflecting a generally favorable perception of the company’s workplace culture, leadership, and opportunities for professional growth. By maintaining open channels of communication and soliciting employee feedback, 888 Holdings demonstrates its commitment to transparency, accountability, and continuous improvement in its employee relations practices.

External:

Responsible Gambling Measures:

888 Holdings is committed to promoting responsible gambling practices and ensuring the well-being of its customers. The company implements a range of responsible gambling measures designed to prevent problem gambling, protect vulnerable individuals, and promote safe and enjoyable gaming experiences. These measures include:

• Self-Exclusion Programs: 888 Holdings offers self-exclusion options that allow customers to voluntarily exclude themselves from gambling activities for a specified period. This empowers individuals to take control of their gambling behavior and seek help if needed.
• Responsible Gaming Tools: The company provides various tools and features to help customers manage their gambling activities responsibly. These may include deposit limits, time limits, reality checks, and session reminders, enabling players to set boundaries and monitor their gaming habits.
• Training and Awareness Programs: 888 Holdings invests in employee training and awareness initiatives to ensure staff members are equipped to identify and address signs of problem gambling. Training programs focus on responsible gaming principles, player protection strategies, and effective communication with customers.

Community Engagement:

888 Holdings actively engages with local communities through corporate social responsibility (CSR) initiatives and community outreach programs. The company partners with charitable organizations, community groups, and non-profit agencies to support initiatives that address social needs, promote education, and enhance quality of life. These community engagement efforts may include:

• Charitable Donations: 888 Holdings donates funds to support community projects, charitable causes, and disaster relief efforts in areas where it operates. These donations may be directed towards education, healthcare, environmental conservation, or other community development initiatives.
• Volunteer Programs: The company encourages employee volunteerism and community service by offering paid time off for volunteering and organizing volunteer events. Employees may participate in activities such as community clean-ups, food drives, or mentoring programs to give back to their communities and make a positive impact.

Responsible Marketing:

888 Holdings adheres to responsible marketing practices to ensure its promotional activities are ethical, transparent, and compliant with regulatory requirements. The company strives to uphold high standards of integrity and fairness in its marketing communications while minimizing the risk of harm to consumers. Responsible marketing practices may include:

• Advertising Standards: 888 Holdings follows advertising standards and guidelines set forth by regulatory authorities to ensure marketing materials are accurate, non-deceptive, and not targeted at vulnerable individuals, such as minors or problem gamblers.
• Consumer Protection: The company incorporates consumer protection measures into its marketing campaigns, such as clear terms and conditions, age verification checks, and responsible gambling messaging. These measures aim to inform consumers about the risks associated with gambling and encourage responsible behavior.

Governance

For any organization, governance forms the backbone of its operations, shaping its transparency, integrity, and regulatory compliance. It encompasses the structures and processes through which companies are directed and controlled. To delve deeper into the governance practices within the iGaming industry, visit Better World Casinos – ESG and Governance.

Governmental Performance

888 Holdings demonstrates a commitment to regulatory compliance and ethical conduct through its robust governance framework and adherence to established policies and standards. The company’s code of conduct outlines the ethical principles and values that guide its interactions with governments, regulatory bodies, and other stakeholders. By promoting transparency, integrity, and accountability in its dealings with governmental entities, 888 Holdings strives to maintain positive relationships, mitigate regulatory risks, and uphold its reputation as a responsible corporate citizen.

Frameworks & Policies:

888 Holdings has established a comprehensive set of frameworks and policies to govern its operations and ensure compliance with legal, regulatory, and ethical requirements. These frameworks and policies encompass various aspects of corporate governance, risk management, and sustainability practices, including:

• Anti-Corruption Measures: The company maintains strict anti-corruption measures to prevent bribery, corruption, and unethical behavior in its business operations. By implementing clear policies, procedures, and controls, 888 Holdings aims to promote integrity and transparency while mitigating the risk of corruption-related incidents.
• Sustainability Charter: 888 Holdings has developed a sustainability charter that articulates its commitment to environmental stewardship, social responsibility, and corporate sustainability. The charter sets forth the company’s goals, objectives, and initiatives aimed at minimizing its environmental footprint, supporting community development, and fostering a culture of sustainability across its operations.
• Tax Policies: The company adheres to rigorous tax compliance policies and practices to ensure transparency, accuracy, and accountability in its tax affairs. 888 Holdings strives to comply with all applicable tax laws and regulations in the jurisdictions where it operates, while also seeking to minimize tax risks and optimize its tax position through prudent tax planning and reporting practices.
• CEO Compensation: 888 Holdings has established a transparent and performance-driven approach to CEO compensation, aligning executive pay with the company’s financial performance, strategic objectives, and shareholder interests. The company’s remuneration policies aim to incentivize and reward executive performance while ensuring alignment with long-term value creation and sustainability goals.

Corporate Structure:

888 Holdings operates within a well-defined corporate structure that supports effective governance, decision-making, and operational management. The company’s corporate structure comprises various divisions, departments, and subsidiaries organized to facilitate business operations and achieve strategic objectives. Key components of 888 Holdings’ corporate structure include:

• Divisions: The company may organize its operations into distinct divisions based on product lines, geographical regions, or business segments. Each division may have its own management team responsible for overseeing day-to-day operations and driving growth within its respective area of focus.
• Departments: Within each division, 888 Holdings may have different departments responsible for specific functions such as marketing, finance, operations, technology, and compliance. These departments work collaboratively to support business objectives, deliver value to customers, and ensure regulatory compliance.
• Subsidiaries: 888 Holdings may have subsidiary companies or affiliated entities operating in different jurisdictions or engaged in complementary business activities. These subsidiaries may operate under the umbrella of 888 Holdings, leveraging shared resources, expertise, and synergies to enhance overall business performance.

Committees:

To support its governance framework and oversight functions, 888 Holdings has established several specialized committees tasked with specific responsibilities. These committees play a critical role in providing guidance, oversight, and strategic direction on key areas of corporate governance, risk management, and compliance. The committees typically include:

• Audit Committee: Responsible for overseeing financial reporting, internal controls, and risk management processes. The audit committee reviews financial statements, internal audit findings, and compliance with regulatory requirements to ensure the integrity of financial reporting and mitigate financial risks.
• Nominations Committee: Tasked with recommending suitable candidates for board positions and assessing the skills, qualifications, and diversity of board members. The nominations committee ensures the board comprises individuals with the necessary expertise and experience to effectively fulfill their roles and responsibilities.
• Remuneration Committee: Responsible for determining executive compensation, including salaries, bonuses, and incentives, to align with the company’s performance and shareholder interests. The remuneration committee reviews compensation policies, incentive schemes, and performance metrics to ensure they promote long-term value creation and attract and retain top talent.

Financials:

888 Holdings’ financial performance is a critical aspect of its corporate structure, providing stakeholders with insights into the company’s profitability, liquidity, and overall financial health. Key financial metrics and indicators may include:

• Revenue: Total revenue generated from the company’s various business operations, including online gaming, sports betting, and other revenue streams.
• Profitability: Net income or profit attributable to shareholders after deducting expenses, taxes, and other costs from total revenue.
• Cash Flow: Operating cash flow, investing cash flow, and financing cash flow, which reflect the company’s ability to generate and manage cash from its operations, investments, and financing activities.
• Balance Sheet: Assets, liabilities, and equity of the company, providing a snapshot of its financial position at a specific point in time.
• Key Performance Indicators (KPIs): Financial and non-financial KPIs used to measure performance, track progress, and inform strategic decision-making.

Sanctions, Controversies, and Concerns

• 888 Holdings has faced significant regulatory scrutiny and enforcement actions, reflecting serious social responsibility and anti-money laundering failures. In March 2022, the company was fined £9.4 million by the UK Gambling Commission after an investigation revealed deficiencies in social responsibility and money laundering protocols. This penalty, one of the largest in the commission’s history, highlighted failures such as inadequate player identification, insufficient customer interactions, and lax money laundering checks.
• Furthermore, 888 Holdings has encountered internal governance challenges, leading to executive changes and regulatory reviews. In January 2023, the company’s CEO departed amid an internal investigation into anti-money laundering processes, prompting a dramatic decline in share prices. Subsequently, 888 Holdings faced additional scrutiny as its license to operate in the UK came under review due to concerns raised by the Gambling Commission regarding proposed board appointments linked to past regulatory issues at GVC Holdings, now known as Entain PLC. This ongoing regulatory scrutiny has further strained investor confidence and raised questions about the company’s compliance and governance practices.
• These regulatory challenges underscore the need for 888 Holdings to prioritize robust compliance measures and enhance governance practices to regain trust, mitigate financial risks, and uphold regulatory standards in the highly scrutinized online gambling industry.

UN Sustainable Development Goals (SDGs)

888 Holdings aligns its sustainability strategy with the United Nations Sustainable Development Goals (SDGs), demonstrating a commitment to addressing global challenges and promoting sustainable development. The company’s initiatives and practices contribute to several key SDGs, including:

1. Goal 4: Quality Education – 888 Holdings supports educational initiatives and promotes responsible gambling education to ensure safer gaming environments for its users.
2. Goal 8: Decent Work and Economic Growth – Through its employment practices and economic contributions, 888 Holdings fosters decent work opportunities and contributes to economic growth in the communities where it operates.
3. Goal 9: Industry, Innovation, and Infrastructure – 888 Holdings invests in innovative technologies and infrastructure to enhance its gaming platforms and services, driving industry growth and innovation.
4. Goal 12: Responsible Consumption and Production – The company promotes responsible gambling practices and implements measures to ensure sustainable consumption patterns among its users.
5. Goal 16: Peace, Justice, and Strong Institutions – 888 Holdings upholds high standards of integrity and compliance, contributing to the promotion of peace, justice, and strong institutions within the gaming industry.

Awards and Ratings

888 Holdings has garnered significant recognition and accolades for its outstanding achievements and contributions to the online gaming industry. The company’s commitment to excellence, innovation, and customer satisfaction has been acknowledged through various prestigious awards and accolades. Some notable awards and recognitions include:

• EGR Operator Awards: 888casino has been consistently recognized at the EGR Operator Awards, winning the coveted Casino Operator of the Year Award multiple times. In 2021, 888casino secured the top award for the third time, further solidifying its position as a leader in the online gaming industry. Additionally, the company received the In-house Product of the Year Award for its sportsbook platform, showcasing its dedication to product innovation and player experience.
• Gaming Intelligence Awards: 888 Holdings was honored at the Gaming Intelligence Awards, winning the Casino Operator of the Year category in 2020. The award recognized the company’s exceptional performance, innovation, and contribution to the online casino sector.
• Poker Listings Operator Awards: In 2020, 888 Holdings received two prestigious awards for its poker platform at the Poker Listings Operator Awards. The company was recognized in the Most Improved Software and Best Beginner Software categories, highlighting its commitment to enhancing the poker gaming experience and catering to players of all skill levels.
• Global Gaming Awards: 888 Holdings clinched the “Best Digital Operator” category for its 888poker.com platform at the Global Gaming Awards. The award acknowledged the company’s efforts to provide players with an exceptional online poker experience and its commitment to innovation and user satisfaction.

These awards underscore 888 Holdings’ leadership, excellence, and commitment to delivering exceptional gaming experiences to players worldwide. The company’s dedication to innovation, responsible gaming, and customer-centric approach continues to set industry standards and drive its success in the competitive online gaming market.

Disclaimer data: This analysis is based on publicly available information, and future reviews will delve deeper into ESG reporting and potential improvements through interviews with company representatives.

Source Material: Refer to the provided hyperlinks for detailed sources.